Rapid responses to emotional words play a crucial role in social communication. This study employed event-related potentials to examine the time course of neural dynamics involved in emotional word processing. Participants performed a dual-target task in which positive, negative and neutral adjectives were rapidly presented. The early occipital P1 was found larger when elicited by negative words, indicating that the first stage of emotional word processing mainly differentiates between non-threatening and potentially threatening information. The N170 and the early posterior negativity were larger for positive and negative words, reflecting the emotional/non-emotional discrimination stage of word processing. The late positive component not only distinguished emotional words from neutral words, but also differentiated between positive and negative words. This represents the third stage of emotional word processing, the emotion separation. Present results indicated that, similar with the three-stage model of facial expression processing; the neural processing of emotional words can also be divided into three stages. These findings prompt us to believe that the nature of emotion can be analyzed by the brain independent of stimulus type, and that the three-stage scheme may be a common model for emotional information processing in the context of limited attentional resources.