The incorporation of technology has revolutionized the education industry, with augmented reality (AR) being one of the emerging technologies that exhibit great potential in educational settings. This study examines the efficacy of AR in enhancing vocabulary learning and retention among young 5th-grade learners. This study was conducted with 56 students, comprising an experimental and a control group. Both groups were taught using the storytelling technique, with the experimental group using AR materials, while the control group utilized flashcards. Pre-test and post-test results showed that both groups displayed significant improvements in vocabulary learning. However, the experimental group, which utilized AR materials, demonstrated a significant enhancement in vocabulary retention compared to the control group three weeks after the post-test. Additionally, the use of AR materials was highly appealing to participating students, and it motivated them to learn. This study provides empirical evidence that supports the effectiveness of AR as an innovative teaching tool in enhancing vocabulary retention among young learners.