The main goal of this research was to examine the influence of the educational level and employment of parents on the development of phonological awareness of pupils of first and second primary school grades. The sample of respondents consisted of a total of 70 students whose age ranged from 78 months to 104 months. Observing respondents in relation to gender, 37 were male and 33 were female. The research was conducted in primary schools in the municipalities of Travnik and Novi Travnik in Bosnia and Herzegovina. The obtained results showed that the level of parents' education and the employment of parents influence the development of the phonological awareness of pupils of the first and second grades of primary schools. Namely, phonological awareness was more developed with pupils whose parents were employed and had a higher education level. The obtained results point to the need for professionals to pay more attention to the phonological development of children coming from families of low socioeconomic status. It is very important to timely identify students with difficulties in the development of phonological awareness with the aim of organizing and providing adequate professional assistance. If the student has difficulty in the field of phonological awareness, in that case the mentioned difficulties may also have a negative effect on the learning skills in other areas.