Reassurance. Head lice can be treated at home. With careful treatment, all lice and nits (lice eggs) are usually killed. There are no lasting problems from having head lice. They do not carry any diseases. They do not make your child feel sick.

Use anti-lice creme rinse and follow package directions. First, wash the hair with a regular shampoo and towel dry it before using the anti-lice creme. Do NOT use a conditioner or creme rinse after shampooing. Work the creme into all the hair down to the roots. Leave the shampoo on for a full 10 minutes or it won't kill all the lice. Then rinse the hair thoroughly with water and dry it with a towel. Don’t wash the hair with shampoo until 2 days after lice treatment. REPEAT the anti-lice shampoo in 9 days to kill any nits that survived.

Remove the Dead Nits. Most treated nits (lice eggs) are dead after the first treatment with anti-lice creme. The others will be killed with the 2nd treatment in 9 days. Nits can be removed by backcombing with a special nit comb or pulling them out individually. This is time-consuming. Nit removal is not urgent and should not interfere with the return to school. Some schools, however, have a no-nit policy and will not allow children to return if nits are visible.

Cleaning the House. Soak hair brushes for 1 hour in a solution containing some anti-lice shampoo. Wash your child's sheets, blankets, pillow cases, and any clothes worn in the past 2 days in hot water (54° C) kills lice and nits. Items that can't be washed (e.g., hats, coats, or scarves) should be set aside in sealed plastic bags for 2 weeks (the longest period that nits can survive).

Call Your Doctor If: New lice or nits appear in the hair - Scalp rash or itch lasts over 1 week after the anti-lice shampoo - Sores on scalp start to spread or look infected

Source: HealthyChildren.org