Little New Year, which falls about a week before the lunar New Year, is also known as the Festival of the Kitchen God, the deity who oversees the moral character of each household. In one of the most distinctive traditions of Spring Festival, a paper image of the Kitchen God is burnt on Little New Year, dispatching the god's spirit to Heaven to report on the family's conduct over the past year. The Kitchen God is then welcomed back by pasting a new paper image of him beside the stove. From this vantage point, the Kitchen God will oversee and protect the household for another year. The close association of the Kitchen God with the Lunar New Year has resulted in Kitchen God Festival being called Little New Year. Although very few families still make offerings to the Kitchen God on this day, many traditional holiday activities are still very popular.

Studies of popular Chinese religion indicate that the Kitchen God did not appear until after the invention of the brick cooking stove. The cooking stove was a fairly late development in the history of human civilization. Ancient writings indicate that the Fire God, the earliest form of the Kitchen God, was worshipped long before the stove was invented. Zhu Rong, China's ancient Fire God was a popular folk deity and had many temples built in his honor. Stone lined firepits, an early form of the brick stove, are still commonly used among China's ethnic minorities. People in these regions make offerings to the Firepit God. The Firepit God appeared between the Kitchen God and the Fire God in the history of Chinese folk deities. The Kitchen God appeared soon after the invention of the brick stove. The Kitchen God was originally believed to reside in the stove, and only later took on human form. Legend has it that during the Later Han Dynasty, a poor farmer named Yin Zifang was making breakfast one day shortly before the Lunar New Year, when the Kitchen God appeared to him. Although all Yin Zifang had was one yellow sheep, he sacrificed it to the Kitchen God. Yin Zifang soon became rich. To show his gratitude, Yin Zifang started sacrificing a yellow goat to the Kitchen God every winter on the day of the divine visitation, rather than during the summer as had been customary. This is the origin of the Kitchen God Festival, or Little New Year.