Psychological capital (PsyCap) emerges as a pivotal asset for mitigating student burnout in college settings, as it bolsters their learning empowerment and engagement. However, there have been inadequate empirical studies investigating the significance of these resources in promoting engagement and empowerment, ultimately leading to a reduction in students’ burnout within the context of higher education. To bridge this gap, we examined the extent to which PsyCap predicts student burnout through its impacts on academic engagement and learner empowerment. The sample of the study was college students (N = 562) who completed a battery of self-report questionnaires measuring their PsyCap, academic engagement, learner empowerment, and student burnout. We employed hierarchical multiple regression analyses and PROCESS macro to ascertain prediction and serial mediation effects. The results substantiated the hypotheses that PsyCap positively related to learner empowerment and academic engagement while negatively associated with student burnout. Further, students with higher levels of learner empowerment and engagement reported lower levels of burnout in their academic studies. The mediational results also revealed that engagement and learner empowerment acted as significant serial mediators between PsyCap and student burnout. The study’s findings underscore the critical significance of PsyCap within higher education, particularly in nurturing learner empowerment, and engagement, thereby reducing student burnout.