This paper examines pathways through which parental characteristics might affect children's cognitive and behavioural outcomes. Using the 2004 LSAC, the author shows that more educated and mentally healthier parents are likely to have children with better outcomes. While educated parents are more frequently engaged in education-oriented activities with their children, mentally healthier parents exhibit more favourable parenting practices. To the extent that these results reflect causal relationships, they suggest that parental education and mental health affect children’s outcomes through different pathways.