Lunar New Year – Red envelope
Editorial staff, J.P. Morgan Wealth Management
- This year’s Lunar New Year starts on February 17, 2026, and it is tradition to gift red envelopes to close family and friends.
- The color red is important in the Chinese culture. The red envelope symbolizes good luck, prosperity and happiness in the new year.
- While there are no set rules on the amount to give, typically, the closer the relationship, the higher the amount.
On Lunar New Year – starting this year on February 17, 2026 – it is tradition to gift a bright, red envelope to your loved ones. While the red envelopes contain money, the cash is not the most important part of receiving the gift. The red color of the envelope symbolizes good luck, prosperity and happiness in the new year. But where did this tradition originate, and what’s the sweet spot when it comes to giving?
What is the Lunar New Year red envelope tradition?
The tradition of the red envelope dates back centuries, and there are several theories as to where it stems from. Most of these legends center around the lucky money warding off evil spirits, but it is the envelope color that brings the real fortune.
What can’t be disputed is the symbolism of the color red in Chinese culture. Red has positive symbolism because of its association with the sun, fire, energy and blood (life). The envelopes are also often decorated with Chinese characters with sentiments of good luck, prosperity and a happy new year.
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Should I give a red envelope?
Traditionally, the red envelopes are given to close friends and family, regardless of age. However, nowadays, the tradition has expanded to acquaintances, neighbors and even coworkers.
Children will receive red envelopes until they are married. Then, they are expected to take part in the giving aspect of the tradition. It is customary to accept the envelope with both hands, thank the person and wish the giver good fortune as well. It is also critical that recipients do not open the money in front of the person who gifted it. However, once they are at home and have opened the envelope, recipients may spend the money however they wish. The real significance is in the act of giving and receiving.
How much money should I put in a red envelope?
The amount of money given certainly varies. Typically, the closer the relationship, the higher the amount. To show respect, it is important to base the amount of money on the hierarchy of the family (i.e., grandparents and parents receive more).
During the 20th century, coins were given in red paper or string. When currency changed to paper money, the tradition evolved as well. Now, crisp, new bills are given – no coins. While there are no set rules on the exact amount to give, many people will gift bills of continuous numbers (e.g., $123) to represent continuous success.
It is customary not to give an amount that starts or ends with a four, as it’s considered an unlucky number in Chinese culture. Instead, try to give an amount that starts (or ends) with the lucky number eight.
When else do people gift red envelopes?
While Lunar New Year is typically red envelope season, the gifting of red envelopes is not limited to this holiday. Oftentimes, red envelopes are given for special occasions, such as graduation, birthdays, weddings or the birth of a baby. With technology advancements, many people have been able to send good fortune via digital red envelopes.
The Year of the Horse is approaching – this animal symbolizes freedom and perseverance for 2026. Happy Lunar New Year!
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Editorial staff, J.P. Morgan Wealth Management
