The chapter presents an important, yet underexplored, aspect of the need for autonomy and autonomous functioning: The desire to know what we truly value within the affordances and constraints of our reality. To know what we value we need to develop an authentic inner compass (IC): a deeply anchored self-guiding schema of interests and values that helps us decide and select optimally-satisfying actions. Rudiments of this schema emerge in early childhood. Then, in adolescence, they enable identification and communication of one’s values and interests, as well as reflection on and selection of long-term goals, commitments, and group-affiliation. Two recently conceptualized autonomy-supportive socializing practices were found to be unique predictors of authentic IC, which then guides satisfying identity choices, and protects against deviant peer-affiliation: Reflective IC facilitation and inherent value-demonstration (IVD). IVD is of special interest because it suggests that in order to foster autonomy and growth in children parents should develop and demonstrate their own IC.