This paper is based on a talk given at the conference of the Centre for Research on the Wider Benefits of Learning, September 2004. There is consistent evidence that parents' education predicts children's educational outcomes, alongside other distal family characteristics such as family income, parents' occupations and residence location. A variety of explanations have been offered for these associations. In this paper, we review the most prominent explanations, present a comprehensive model of the influences of parents' education and then summarize some of the research we have done that focuses on the role of parental influences on children's academic achievement. (Contains 6 figures.)