Moulton, born in Schenectady, New York, United States, worked as a model at the Bookings and Ford agencies before beginning his production career. Before that, he had worked in the music industry, holding a sales and promotion job at King Records (from 1959 to 1961), and similar positions at RCA and United Artists. He eventually left due to his disgust at the industry's dishonesty. His music career restarted in the late 1960s, with a self-made tape of overlapping songs created for the Fire Island bar and restaurant The Sandpiper.
He was responsible for the first continuous-mix album side, on Gloria Gaynor's disco album Never Can Say Goodbye, earning him the title of "father of the disco mix." Among some of his other successes in mixing songs are The Three Degrees' "Dirty Ol' Man," MFSB featuring The Three Degrees' "Love Is The Message," B.T. Express' "Do It ('Til You're Satisfied)," The Trammps' "Disco Inferno," The People's Choice's "Do It Any Way You Wanna," Andrea True's "More, More, More," plus First Choice's "Doctor Love" as well as "Armed and Extremely Dangerous" and Claudja Barry's album, The Girl Most Likely.
Moulton's innovative work was honored at the 2004 Dance Music Hall of Fame ceremony in New York City, when he was inducted for his achievements as a remixer. He is the official archivist of the Bethlehem Jazz and Salsoul music catalogues and has overseen all of the digital remastering. In late 2006, Moulton remixed the Brand New Heavies (featuring N'Dea Davenport)'s single "I Don't Know (Why I Love You)."
A Tom Moulton Mix was used as the title of a compilation of Moulton's remixes on Soul Jazz Records. UK label Harmless Records has released albums of Moulton's work of remixed tracks originally issued on Philadelphia International and other Philly soul labels, mainly during the 70s.