Drawing from the model of parental involvement in sport, the overall purpose was to examine the associations of perceptions of parenting practices (encouragement, reinforcement, instruction, and role modeling) and athletes’ psychological variables (self-efficacy, social self-efficacy, self-regulation, and intrinsic motivation) of elite and sub-elite youth athletes. Participants were elite (n = 210) and sub-elite (n = 635) athletes aged between 14 and 18 years (Mage = 16.58, SD = 1.33). Structural equation modeling analysis revealed that young elite athletes’ perceptions of sport-related parenting practices are associated with their psychological skills and performance level in sport. Specifically, in comparison with their sub-elite peers, perceptions of parental encouragement had a significantly different strong effect on intrinsic motivation. Moreover, perceptions of parental modeling revealed different effects on performance level, as well as on intrinsic motivation, and self-regulation. These perceptions of parenting practices may promote a positive learning environment, resulting in an increased likelihood of achieving a high level of sport performance in comparison with their sub-elite peers.