Payne Gap is an unincorporated community and census-designated place in Letcher County, Kentucky, United States. As of the 2020 census, Payne Gap had a population of 347. U.S. Route 119 passes through the community.
According to the U.S. Census Bureau, the community has an area of ; of its area is land, and is water.
As of the 2020 census, there were 347 people, 173 housing units, and 276 families in the CDP. The racial makeup was 96.5% White, 0.6% Asian, and 2.9% from two or more races. A total of 0.6% of the population had Hispanic or Latino origin.
The ancestry was 30.8% American, 13.0% English, 9.5% Irish, 6.4% German, 2.3% French, and 2.3% Scottish.
The median age was 38.2 years old. A total of 5.6% of the population were 65 or older, with 3.1% between the ages of 65 and 74, and 2.4% between the ages of 75 and 84. A total of 29.0% of the population were under 18, with 17.9% between the ages of 5 and 14, and 11.1% between the ages of 15 and 17.
The median household income was $29,375. 47.0% of the population were in poverty.