The state highway runs 25.01 miles (40.25 km) from SR 42 near Buffalo Gap east to U.S. Route 340 (US 340) in Waynesboro.

SR 254 provides a northerly alternate route to US 250 between Waynesboro and Staunton, where the highway provides access to the Woodrow Wilson Presidential Library.

SR 254 passes the American Shakespeare Center, Mary Baldwin College, and the Woodrow Wilson Presidential Library in the eastern part of downtown.

The state highway veers northeast to meet the northern terminus of SR 262 (Woodrow Wilson Boulevard).

SR 254 continues east as Hermitage Road, which crosses Christians Creek and gradually curves southeast and south to the city of Waynesboro.