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Family and neighborhoods are important environments that influence children’s development. Drawing on social capital approach and ecological model, the study examined the relationships between parental social capital in education, neighborhood characteristics, and educational achievement of elementary school students using data from Early Childhood Longitudinal Study, Kindergarten class of 2010-11 (ECLS-K:2011). Results showed that different domains of parental social capital were affected by different aspects of neighborhood characteristics, and school-based parental social capital was important for students’ academic achievement. Additionally, the study disentangled the effect of extralocal neighborhoods from the effect of local neighborhoods on parental social capital and academic achievement whereby local- and extralocal- neighborhood both independently and jointly influence parental social capital and students' academic achievement.