Penuwch is a small village located about six miles west of Tregaron, and about eight miles east of Aberaeron and the Cardigan Bay coast. The village houses are scattered about the countryside and straddle the B4577 road between Tregaron and Aberaeron.
The village amenities include the pub, the Penuwch Inn, the school and the chapel, Penuwch Methodist Chapel.
Llyn Fanod, a small upland lake and Site of Special Scientific Interest lies to the north of the village located in the headwaters of the River Aeron at Bontnewydd.
There a number of trails and rights of way criss-crossing the landscape around Penuwch (including a walk to Llyn Fanod) and the Sarn Helen Roman road passes a couple of miles to the east of the village.
Sheep farming is the main agricultural activity, but cattle, horses, poultry and arable farming are found also.
The men of the village who fell during both World Wars are commemorated on two War Memorial tablets which are mounted into the exterior walls of Penuwch Methodist Chapel.