Gray-and-gold Warbler is resident in northwestern South America, in western Ecuador and northwestern Peru. In Ecuador it occurs west of the Andes and north to Manabí and Chimborazo, with a few records north to western Esmeraldas and southern Pichincha (Ridgely and Greenfield 2001a); indeed, the species may be increasing in the northern portion of its range (Ridgely and Greenfield 2001a). The distribution extends south in Peru through Tumbes and Piura to northern Lambayeque (Zimmer 1949, Bond 1953, Schulenberg et al. 2010).
Gray-and-gold Warbler usually is assumed to be resident. In Ecuador, however, Ridgely and Greenfield (2001a: 703) "suspect that the Gray-and-gold Warbler may engage in local seasonal movements, moving into more mesic habitats during the dry season and then breeding in more deciduous habitats during the rainy season".
The elevational distribution of Gray-and-gold Warbler in most of Ecuador is below 1700 m (and below 300 m in northern Ecuador), but locally it occurs up 2100 m. In Peru this warbler occurs at 400-1800 m (Schulenberg et al. 2010).