Practical Implications: This chapter contributes to the literature on phonics and phonemic awareness by clearly explaining the differences between the two concepts and their necessary inclusion in any beginning reading program. It includes practical activities teachers can use to develop these understandings in the classroom and provides research evidence to support their use. [For the complete volume, "What's Hot in Literacy: Exemplar Models of Effective Practice. Literacy Research, Practice and Evaluation. Volume 11," see ED614707.]