Peng was born in 1898 in the village of Shixiang, Xiangtan County, Hunan. His personal name at birth was "Dehua." Peng's family lived in a thatched-straw hut and owned approximately 1.5 acres of irrigated land on which the family grew bamboo, sweet potatoes, tea, cotton, and various vegetables. His father also operated a bean curd shop. The income from the land and shop supported an extended family of eight people, including Peng, his three brothers, his parents, his grandmother, and a grand-uncle. Peng's grand-uncle had joined and fought for the Taiping rebellion and used to tell Peng about the old Taiping ideals: everyone should have enough food to eat, women should not bind their feet, and land should be redistributed equally. Peng later described his own class background as "lower-middle peasant."