South Milford is located in Annapolis County, along Highway 8 (Kejimkujik Scenic Drive), north of Nova Scotia's only inland national park, the Kejimkujik National Park and 50.7 km (31.5 mi.) southeast of Digby. Bear River is also just minutes up the road. Past names of the community of Milford have been Liverpool Head and Thomas's Mills, and the current name of South Milford derives from the northern town of Milford. Main industries in South Milford are agriculture and forestry.

South Milford is a tranquil little community, offering such activities as hiking the numerous nearby trails, canoeing, pedal-boating and exploring in the woodlands. Wildlife is plentiful in South Milford, as are rare bird sightings, including the Blue Heron. Make sure to spend an afternoon at the sandy lakeside beach, which includes a boat launch. Build sandcastles and go for a swim in the freshwater lake as well. Picnic areas are also available in South Milford, as is berry picking and numerous heritage buildings.

South Milford accommodations include beautiful inns and campgrounds.