Contracts and prescriptions can provide an effective individualized method for teaching students how to learn. A contract may be formulated by any interested party and is an agreement to achieve stated goals by a described method. Prescriptions are teacher-initiated as a result of a specific diagnosis of a student's needs. In an individualized program, prescriptions can be used to insure pupil mastery of essential basic skills, while contracts can enable pupils to progress beyond minimal essentials by encouraging responsible, independent study. Individualized programs developed at a high school and an elementary school illustrate the use of each method. Faculty at the schools reported that students were better able to plan and evaluate the use of materials, and that the learners of lower ability and motivation participated successfully without hindering the progress of the more able learners. Suggestions for using prescriptions and contracts to individualize instruction include: (1) Keep lesson plans and contracts short and simple; (2) Acquire and use a wide variety of instructional materials; (3) Provide receptive teachers with inservice training; and (4) Build incentives into the plan and evaluate students so that they can learn how to evaluate their own work. (FG)