A model incorporating the direct and indirect effects of parental monitoring on adolescent alcohol use was evaluated by applying structural equation modeling (SEM) techniques to data on 4,765 tenth-graders in the 2001 Monitoring the Future Study. Analyses indicated good fit of hypothesized measurement and structural models. Analyses supported both direct and indirect effects of parental monitoring on adolescent alcohol use. Peer influence, perceived alcohol norms, and conventional bonds mediated the relationship between parental monitoring and adolescent alcohol use. Results suggest parental involvement and proactive parenting skills as critical components of prevention and intervention programs that target adolescent alcohol use. (Contains 2 tables and 2 figures.)