We examined contextual factors that may affect the impact of physical discipline on later child behavior problems among high-risk Black and White families. We examined race, parental warmth, and early child problems as potential moderators of the discipline-behavior problem link. The sample included 442 White and Black children and their caregivers interviewed at ages 4, 6, and 8 years. Results indicated that physical discipline operated similarly across the groups, leading to increased externalizing problems only when children demonstrated behavioral problems early on. However, while warm parental attitudes protected against later problems among White children, these attitudes exacerbated early problems in Black children. These findings suggest both racial variability and generalizability in the effects of parenting on child adjustment. (Contains 1 table, 2 figures, and 1 footnote.)