First, I think everyone should read this article:Â http://www.lilipoh.com/articles/2007/fall2007/teaching_children.aspxÂ
It talks about brain development, connections between motor skills and reading readiness, and the pitfalls of pushing reading too early. Very eye-opening.Â
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The author of Teach Your Child to Read in 100 Easy Lessons has a computer program that is free to download THIS MONTH only! It's normally $249.
http://funnix.com/Â
It is a DISTAR phonics method. It takes a long time to download but there seriously is no catch. I've been using it with my almost 5yo DD all week and she loves it! This is the first formal introduction to phonics that we have done, with the exception of Montessori based and general phonemic awareness activities.Â
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Another good phonics program is Explode the Code. They have workbooks that you can get through amazon or Rainbow Resource and probably many other places and an online version now: http://www.explodethecode.com/Â
I used this with students when I was teaching and I really loved using it, and my students had great success with it. (The workbooks that is--I haven't tried the online program.)
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Some programs combine writing and Phonics. A Beka is one that teaches cursive first, but has a print first option, and combines teaching writing along with the phonics sounds and blends being taught. We are waiting a little longer and then planning on starting the A Beka writing and phonics work.Â
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Cursive First and Spell to Read and Write also has a combined approach of cursive and phonics. http://www.swrtraining.com/index.html
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I have a few friends who swear by the Kumon books and say their kids learned to read just by using those workbooks.Â
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Another one I have heard good things about but haven't tried personally is Sing, Spell, Read, and Write.Â