This article explains (a) why racial literacy--an understanding of the origins and function of race in US schools and society--is essential to the work of educational leaders, and (b) how educational leaders can improve their leadership through racial literacy. It introduces the concept of racial literacy as a first step to improving school leadership practices, to be followed by racial realism, racial reconstruction, and racial reconciliation in racially diverse school communities. The article concludes with recommendations and resources designed to advance the racial literacy of educational leaders and their teams as part of a broader commitment to inclusion and social justice in US schools.