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Children\u2019s ( N = 106) vocabulary, conventions of print, phonological awareness, knowledge of letters, reading decoding, and reading comprehension were assessed. Family risk factors, consisting of household composition, years of maternal education, job situation of the mother, and income level of the family, were combined to create a cumulative risk index. Canonical correlation and multiple regression analyses were performed. Results revealed the negative impact of cumulative risk index on both the preschool and first-grade literacy skills. In addition, the number of risk factors present in the family context negatively predicted the majority of the firstgrade literacy skills, after taking preschool skills into account. 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