This purpose of this study was to examine the relationship between phonological awareness, verbal working memory, and risk for dyslexia in Arabic language in preschool children. The participants of this study were preschool children between the ages of five and six, who represented two groups: (20) children at risk for dyslexia and (20) children normal without any risk for dyslexia. These children were randomly selected from a larger sample of 425 preschool children in Egypt. Phonological awareness and verbal working memory tasks were used to compare children's abilities. The findings indicate that there is a strong relationship between phonological awareness and working memory. In addition, phonological awareness and working memory may have an effect on children’s phonological sensitivity and reading skills.