Objective: To explore the relationship between parental feedback and the accuracy of children’s self-perceptions. Children with ADHD have been demonstrated to overestimate their own competence, a phenomenon known as positive illusory bias (PIB). Method: Participants were families of 56 children (41 male) ages 7 to 10, half of whom had clinical diagnoses of ADHD. PIB was assessed by comparing children’s self-ratings of their competence relative to teachers’ ratings. Laboratory interactions were observed where parental feedback to children was coded. Results: Parental warmth was associated with lower PIB about social competence in children with ADHD, but greater PIB in comparison children. Parent criticism was positively correlated with greater PIB about social competence in children with ADHD, but the relationship was nonsignificant for comparison children. Parent praise was associated with lower PIB about behavioral conduct in comparison children. Conclusion: Results support the self-protective hypothesis of PIB, and implications for interventions are discussed. (J. of Att. Dis. 2012; XX(X) 1-XX)