A folding exercise rack system which may be both adjusted with respect to a wall and adjusted between a folded position for storage and an extended position for use. The folding exercise rack system generally includes an exercise rack that is both adjustable with respect to the wall and foldable between extended and retracted positions. The exercise rack generally includes a pair of inner support members which are adjustably connected to the wall, and a pair of outer support members which are adjustable between an extended position and a retracted (e.g., folded) position. In the extended position, the outer support members are distally spaced away from the inner support members and wall. In the retracted position, the outer support members are positioned adjacent to the wall.