Happy education, as an educational philosophy focusing on students’ emotional experiences and individual development, its integration into classroom teaching in higher vocational colleges represents a crucial approach to alleviating students’ psychological stress and enhancing their mental health. This paper systematically reviews relevant research literature both domestically and internationally, covering aspects such as the core connotations of happy education, the current state of mental health among students in higher vocational colleges, the mechanisms through which happy education integrated into classroom teaching affects students’ mental health, the current status of practical applications, and existing issues. The study finds that mental health issues among students in higher vocational colleges are becoming increasingly prominent. Happy education positively influences students’ mental health through mechanisms such as creating a positive classroom atmosphere, strengthening interpersonal interactions, and enhancing self-identity. However, in practice, there are still issues such as deviations in the implementation of the concept, homogenization of instructional design, and inadequate evaluation systems. Based on this, future efforts should focus on further deepening theoretical research, optimizing practical approaches, and constructing a collaborative support system to provide references for the effective implementation of happy education in higher vocational colleges and the improvement of students’ mental health levels.