During Chinese New Year, children are given red packets filled with money. In the past, the red packets were placed under the pillow for good luck in the New Year and to ward off evil spirits from invading the dreams. The money inside of the packets is always an even number like 8, 10, and 20 because good luck comes in pairs. The packets are red because red is a lucky number. Only unmarried people can receive these and only married people can distribute it, regardless of age.
My informant has been receiving these packets since birth and was required to pass these out in Singapore since the 1960s. Most people in Chinese communities all over the world practice this particular custom. Most Chinese kids see it as a way to get money during the New Year season. To get one of these red packets, kids need to greet their elders with auspicious phrases and wishing them good luck.
This is not just limited to the Chinese, but there are many other countries that have variations of this custom as well. The Malays also give money after Ramadan, during Hari Raya, but in green packet with odd numbers. The Vietnamese giver something similar to these red packets and the Japanese have white packets with the names of the receiver written on the outside. It’s interesting how customs like this are spread all throughout Asia because it is an example of diffusion and adopting customs.