Working titles included Now I Lay Me Down, and A Jest of God, after the 1966 novel by Margaret Laurence upon which the film is based. The book was first recommended as a potential starring vehicle for Joanne Woodward by her talent agent, John Foreman, who was also business partners with Woodward and her husband, Paul Newman, in the newly formed Kayos Productions, as noted in the 1 Sep 1968 NYT. Woodward recalled that Newman had not liked the book when he had first read it, and he had expressed no intention of directing, but had made himself available when she and Foreman were unable to entice another director. On 27 Feb 1967, DV confirmed the forty-two-year-old Newman’s involvement. Although he had majored in directing years earlier at Yale University, as stated in the 22 Oct 1967 NYT, the film marked his motion picture directorial debut.
       Several studios turned down the project before Warner Bros.—Seven Arts, Inc. agreed to finance it for an estimated $700,000-$800,000. The 6 Jan 1969 DV indicated the studio paid $55,000 to take on the project, including payment for the book option. Newman and Woodward accepted deferred salaries in exchange for heavy profit participation, and Newman claimed in the 22 Oct 1967 NYT that he would be personally financially responsible for any budget overages. According to an 8 Nov 1967 DV article, Rachel, Rachel was set to be one of four pictures he was contracted to direct or star in for Warner Bros.—Seven Arts, two of which (including Rachel, Rachel) would star Woodward.
       Filming began 25 Aug 1967 in Danbury, CT, a production chart in the 13 Sep 1967 Var reported. Shooting also took place in the towns of Bethel and Georgetown, CT, and was completed the week of 16 Oct 1967, as stated in the 22 Oct 1967 NYT.
       Popular Library was slated to release a paperback version of Laurence’s novel to coincide with the opening of the film, according to a 15 Nov 1967 Var item. Theatrical release took place on 26 Aug 1968 at New York City’s Plaza and Trans-Lux West theaters, according to the NYT review published the following day. While reviews were mixed, the film was deemed a “sleeper” in the 30 Oct 1968 Var, which suggested it might be Warner Bros.—Seven Arts’ highest grossing movie of 1968, with $5-$6 million in projected box-office receipts.
       Newman’s directing credit does not appear until the end of the film. Items in the 16 Sep 1968 and 6 Jan 1969 DV stated that the Directors Guild of America (DGA) initially denied Newman’s request to display only the film’s title and Woodward’s name in opening credits; however, when the film debuted in New York City, Newman’s credit did not appear until the end of the picture, and a DGA member reported the aberration to the guild. In his defense, Newman rallied the support of fellow directors Norman Jewison, Otto Preminger, George Roy Hill, Billy Wilder, Richard Brooks, William Wyler, Elia Kazan, Arthur Penn, and Martin Ritt. Preminger, and filmmaker George Stevens, had reportedly lost earlier court decisions contesting the same issue, but the DGA decided to reverse its decision in the case of Rachel, Rachel, citing the “artistic nature of the film” as their reason for allowing Newman to display the directing credit as he wished. DGA president Delbert Mann claimed “it was the first time to his knowledge that a director’s credit has come at the very end of a film.” Controversy also arose when Newman was quoted as saying his contract had “set a precedent” by allowing him the right to edit the picture for television. The 6 Jan 1969 DV noted that the DGA had previously been unsuccessful in obtaining the same rights for other members. Warner Bros.—Seven Arts executive Kenneth Hyman refuted Newman’s claims of setting a precedent in a 10 Jan 1969 DV article, arguing that his right to edit the film for television depended on “certain contractual limitations.” Hyman stressed that Newman would only be asked to edit the picture if Warner Bros.—Seven Arts deemed it necessary to alter it for television, and in that case, he would have only sixty days to complete the task, or the studio would edit it without him.
       Golden Globe Awards went to Paul Newman for Best Director – Motion Picture, and to Joanne Woodward for Best Performance by an Actress in a Motion Picture – Drama. The film received the following Academy Award nominations: Best Picture; Actress (Joanne Woodward); Actress in a Supporting Role (Estelle Parsons); and Writing (Screenplay—based on material from another medium).