Step 1:

In an event page, tap on the colored circle on the left of an event title

Step 2:

You will see a set of colors with some default examples. To edit a description of an event color, tap on “Edit Colors”

Step 3:

Tap on any color to add a description or edit the existing description.

Different ways of using event colors:

Use each color for a type of activity among your family - this can be similar to the default list of descriptions we prepare for you
Use each color to represent a member’s events - see screenshot below
Assign different colors to events to help your family prioritize their tasks based on urgency or importance. For example, urgent or high-priority tasks could be marked in red, while lower-priority tasks could be marked in yellow or green
Any other idea that works best for your family

Edit Event Colors in Settings:

If you wish to edit event colors in bulk, you can edit event colors in Settings > Calendar > Event Color.

Edit Event Colors for Better Organization