Magnetoencephalography (MEG) and magnetic source imaging (MSI) together represent a uniquely powerful functional imaging modality because of their capabilities of directly observing the electrophysiologic activity of neurons with exquisite temporal detail and accurately localizing corresponding neuromagnetic field sources onto high-resolution MR images. These features have and should continue to advance our understanding of the complex spatiotemporal basis of normal and abnormal brain function and development in children. By more clearly delineating and characterizing epileptogenic foci and their relation to eloquent cortex, MSI enables earlier and more effective neurosurgery to be performed, thus resulting in improved seizure outcomes. Although MEG and MSI cannot replace scalp electroencephalography, neuropsychologic testing, and the need for meticulous intraoperative cortical mapping in patients undergoing excision of epileptogenic lesions, their increasing availability should ultimately persuade many clinicians of their key, if not essential, role in the evaluation and treatment of children with epilepsy.