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Word recognition begins before a reader looks directly at a word, as demonstrated by the parafoveal preview benefit and word skipping. Both low-level form and high-level semantic features can be accessed in parafoveal vision and used to promote reading efficiency. However, words are not recognized in isolation during reading; once a semantic representation is retrieved, it must be integrated with the broader sentence context. One open question about parafoveal processing is whether it is limited to shallow stages of lexico-semantic activation or extends to semantic integration. In the present two-experiment study, we recorded event-related brain potentials in response to a sentence-final word that was presented in foveal or parafoveal vision and was either expected, unexpected, or anomalous in the sentence context. We found that word recognition, indexed by the N400, ensued regardless of perception location whereas identification of the semantic fit of a word in its sentence context, indexed by the late positive component, was only observed for foveally perceived but not parafoveally perceived words. This pattern was not sensitive to task differences that promote different levels of orthographic scrutiny, as manipulated between the two experiments. These findings demonstrate separate roles for parafoveal and foveal processing in reading. Public Significance Statement: There has long been a public interest in the prospect of speed reading, but scientists have repeatedly challenged this possibility, pointing out that there is a tradeoff between reading speed and accuracy. In particular, if a reader skims the text and does not look at all or most of the words (as during "speed reading"), they cannot comprehend the text as well. The present study adds additional support, via neural data, for the idea that looking directly at a word is necessary to perform aspects of the reading process that lead to a higher level of understanding of a word and its context. [ABSTRACT FROM AUTHOR]