--- - |2+ Abstract Objective Previous research has demonstrated a robust relationship between religion and well‐being, and it has been proposed that positive emotions are important mediators of this effect. Yet the mechanism via which religion promotes positive emotions has not been widely studied. We sought to examine whether teleological explanations of daily events and resulting positive emotions serially mediated the effects of religion on well‐being. Method These hypotheses were tested over three studies involving full‐time and part‐time university students in Singapore. In Study 1, participants completed measures of religiousness and well‐being, and explained and described three recent personally significant events and their resulting emotions. Studies 2 and 3 adopted an ecological momentary assessment approach to measure teleological explanations, resulting emotions, and well‐being in almost real time. Results In Study 1, teleological explanations and positive emotions serially mediated the effects of religiousness on well‐being. In Study 2, momentary teleological explanations of daily events mediated the positive relationship between religiousness and momentary positive emotions. In Study 3, serial mediation of the relationship between religiousness and momentary well‐being by momentary teleological explanations and positive emotions was observed. Conclusions These results provide evidence of the importance of teleological explanations of daily events in religious enhancement of well‐being. - Journal of Personality, EarlyView.