This study examined the relationship of family characteristics (i.e., SES and race), parent-child engagement, and interactive reading behaviors on preschooler’s emergent literacy scores. This study used a structural equation model to examine variables that impact emergent literacy development by evaluating data from the Early Childhood Longitudinal Study-Birth Cohort (ECLS-B), a nationally representative sample of children from birth until kindergarten. The data from the two year and preschool wave were analyzed using a sample size rounded to 550 cases. This was a longitudinal study that examined parent-child engagement at two years old, interactive reading behaviors at four years old, and how children scored on early literacy measures at four years old. Additionally, the family characteristics of SES and race were separated out to examine individual relationships with the other variables in this study. Findings indicated that SES was significantly related to parent-child engagement and emergent literacy skills. Further, SES was more important than race, which was only significantly related only to parent-child engagement. This study also found that parent-child engagement is significantly related to emergent literacy skill development. Yet, joint reading behaviors between parents and children were not significantly related to emergent literacy skill development. The implications on how researchers can use this information to create more applicable interventions to target parents of any SES level are discussed to encourage greater early literacy exposure within the home environment.