Using data from two waves of a short-term longitudinal study, the authors examined the impact of maternal socioeconomic conditions (education, employment, and income) and family processes (quality of mother-father relations, frequency of nonresident fathers' contacts with their children, and mothers' parenting stress) at time (T) 1 on maternal parenting adequacy and children's behavior problems and adaptive language skills, 1 1/2 to two years later, at T2. The sample consisted of 86 single mothers--each with a preschool child (ages 3 and 5, respectively, at T1 and T2)--who were employed and unemployed current and former welfare recipients. As predicted, the influences of mothers' socioeconomic conditions and family processes were largely indirect and mediated by mothers' perceived self-efficacy (mastery). The quality of the mother-father relationship was related positively to the frequency of nonresident fathers' contacts with their children. More nonresident father involvement and less maternal parenting stress at T1 were associated with better child outcomes in kindergarten--that is, fewer behavior problems and better adaptive language skills. These findings suggest that there might be enduring effects on poor children's adjustment in early school of mothers' efficacy beliefs and nonresident fathers' involvement. Implications for social welfare policies and practice are discussed.