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Background/Objectives: Folk dance represents an educational and cultural practice that is capable of promoting psychological well-being, social cohesion, and identity formation. However, few studies have integrated students' voices regarding their lived experiences in these practices. This study aimed to analyze the perceptions of children and adolescents about their participation in school folk dances, exploring their impact on psychological well-being, self-confidence, and body awareness. Methods: A qualitative study with an exploratory and descriptive design was conducted with a purposive sample of 76 elementary and secondary school students who participated in the School Folk Dance Encounter "Heartbeats of My Land", organized by the Metropolitan University of Educational Sciences (Chile). Semi-structured interviews were applied, and a thematic analysis was performed on 285 statements, organized into two dimensions: Psychological Well-being and Self-Confidence (PWS) and Body Awareness, Expression, and Communication (CEC). Results: The analysis revealed a predominance of the (PWS) dimension (85.3%), focused on positive emotions, self-confidence, and emotional regulation. Students' testimonies highlighted dance as a means of release, self-esteem, and joy. To a lesser extent (14.7%), the (CEC) dimension reflected the perception of the body as a vehicle for communication and symbolic expression. Conclusions: Folk dance emerges as an integral pedagogical space that enhances emotional well-being, self-confidence, and cultural identity. Its systematic inclusion in Physical Education is proposed as a strategy to foster meaningful learning, mental health, and social cohesion.