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Children are exposed to Artificial Intelligence (AI) from an early age nowadays. Parents equipped with more AI literacy skills may be more efficacious in parenting. Parents’ educational level is also an important factor influencing parenting self-efficacy. The quantitative study examined the associations among parents’ AI literacy, educational level, and parenting self-efficacy. Data were collected from 162 parents of primary school students in Hong Kong through online surveys. Results showed significant relationships among parents’ AI literacy, educational level, and parenting self-efficacy. The association between parents’ educational level and parenting self-efficacy was partially mediated by the subfactors of AI literacy. The study highlighted the importance of parents’ educational level and AI literacy in parenting regarding children’s education.