The community was named after Anselmo, Nebraska, which was the former home of the area's first postmaster. The Anselmo Post Office officially opened on September 15, 1913, with R.J. Michalitschka serving as the first postmaster. The establishment of the post office marked the formal recognition of the growing cluster of homesteaders arriving in the area to clear land and establish farms.

During the 1910s, the region attracted a wave of settlers looking for agricultural opportunities. Many families relied heavily on mixed farming, timber clearing, and rudimentary local trails to connect with nearby trading posts and nascent railway points.

As the community grew, local social and spiritual structures took shape. The area received visits from early Lutheran (Missouri Synod) missionaries, such as Pastor A.H. Schwermann, who began holding services for settlers in the Anselmo area around 1914–1915. A local congregation formed early on, organizing a "Ladies Aid" and eventually incorporating as St. Paul’s Lutheran Church (Anselmo) in 1922. For many years, the congregation was tied structurally or served alongside nearby mission fields like Mellowdale.