diff --git a/docs/versioning-and-releases.md b/docs/versioning-and-releases.md
new file mode 100644
index 00000000..ce5ec4a5
--- /dev/null
+++ b/docs/versioning-and-releases.md
@@ -0,0 +1,38 @@
+# How to Release a New Version
+
+## Simple steps for releasing a new version of BMAD-METHOD
+
+```bash
+# 1. Commit all changes
+git add .
+git commit -m "feat: add versioning and release automation"
+
+# 2. Bump version
+npm run version:minor  # 4.0.0 → 4.1.0
+
+# 3. Push to GitHub (when ready)
+git push && git push --tags
+```text
+
+## Available Commands
+
+```bash
+npm run version:patch   # 4.1.0 → 4.1.1 (bug fixes)
+npm run version:minor   # 4.1.0 → 4.2.0 (new features)
+npm run version:major   # 4.1.0 → 5.0.0 (breaking changes)
+```
+
+## What the Version Bump Does
+
+1. Updates `package.json` version
+2. Creates git commit: `chore: bump version to vX.Y.Z`
+3. Creates git tag: `vX.Y.Z`
+4. Shows reminder to push
+
+## To Publish to NPM (Optional)
+
+```bash
+npm publish
+```
+
+Then users can run: `npx bmad-method` to get the new version.
diff --git a/package-lock.json b/package-lock.json
index c3dbddc6..f4249388 100644
--- a/package-lock.json
+++ b/package-lock.json
@@ -1,12 +1,12 @@
 {
   "name": "bmad-method",
-  "version": "4.0.0",
+  "version": "4.1.0",
   "lockfileVersion": 3,
   "requires": true,
   "packages": {
     "": {
       "name": "bmad-method",
-      "version": "4.0.0",
+      "version": "4.1.0",
       "license": "MIT",
       "dependencies": {
         "@kayvan/markdown-tree-parser": "^1.4.2",