Common prosperity is the essential requirement of the socialist system, and one of the important goals of China’s modernization. Common prosperity is a long-term goal, and its realization is a long-term development course. This paper expounds on the connotations and fundamental requirements of common prosperity, discusses the challenges anticipated in realizing common prosperity in China from the perspectives of income gap, property distribution gap and public services, and expatiates common prosperity as a long-term and complex course involving many difficulties. Next, this paper proposes a detailed plan for the realization of common prosperity by reforming the income distribution system and promoting the equalization of basic public services, with the view of improving the capacity of all the people to develop in a comprehensive manner.