Disclosed herein are various embodiments for an augmented reality contextual menu system. An embodiment operates by determining a position of a collapsed menu icon, representing a menu within an augmented reality computing environment, on an interface of the augmented reality computing environment, based on a position of a device used to view and interact with the interface. A hand gesture, from a user corresponding to an expansion command associated with displaying a plurality of menu options on the interface is detected. The collapsed menu icon is replaced with a plurality of expanded menu icons, wherein each expanded menu icon corresponds to one of the plurality of menu options and enable user access to functionality within the augmented reality computing environment.