The first section of the book is an autobiography mainly concerning King's early exposure to fiction and his childhood attempts at writing. He describes his early attempts to get published, his success with his first novel Carrie, and his subsequent development as an extremely popular author. King also discusses his problems with drugs and alcohol.

The second section is practical advice on writing, from tips on grammar to ideas about developing plot and character. King describes it as a guide for how "a competent writer can become a good one." He stresses his beliefs that a writer should edit out unnecessary details and avoid the use of unnecessary adverbs.

The third section is also autobiographical, in which he discusses the 1999 automobile accident in which the writer was struck by a vehicle while walking down an isolated country road. King describes serious injuries, his painful recovery and his struggle to start writing again.

King also includes part of a rough draft and an edited draft of his own story entitled "1408".

In the United Kingdom paperback version, a short story by Garret Adams entitled "Jumper" was included at the end of the book, which was the winner of the On Writing competition.

The book tells the story of Skafloc Half-elf, son of Orm the Strong. The story begins with the marriage of Orm the Strong and Aelfrida of the English. Orm kills a witch's family on the land, and later half-converts to a Christian, but quarrels with the local priest and sends him off the land. Meanwhile, an elf, Imric, seeks out the witch to capture the son of Orm, Valgard. In his place he leaves a changeling called Valgard. The real Valgard is taken away to elven lands and named Skafloc by the elves. He grows up among the fairies there. Later, he has a significant part in a war against the trolls.

For readers around the globe, The Hobbit serves as an introduction to the enchanting world of Middle-earth, home of elves, wizards, dwarves, goblins, dragons, orcs, and a host of other creatures depicted in The Lord of the Rings and The Silmarillion - tales that sprang from the mind of the most beloved author of all time, J. R. R. Tolkien. Newly expanded and completely redesigned, Douglas A. Anderson's The Annotated Hobbit is the definitive explication of the sources, characters, places, and things of J. R. R. Tolkien's timeless classic. Integrated with Anderson's notes and placed alongside the fully restored and corrected text of the original story are more than 150 illustrations showing visual interpretations of The Hobbit specific to many of the cultures that have come to know and love Middle-earth. Tolkien's original line drawings, maps, and color paintings are also included, making this the most informative edition of The Hobbit available.