R.D.
The most important thing you can do for your baby is to play games that require her to orally manipulate sounds. This is called phonemic awareness, and is the first step to reading. If she can not hear the difference in sounds, replicate them, and then play with them by making small changes then she will have a harder time learning how to read. She basically needs to orally rhyme, including nonsense words. (And remember, you may be able to understand her perfectly, but you're her Mom, what about other people?)
Please read this: http://www.improve-education.org/id58.html
The your baby can read program is nothing but memorization. This is NOT the basis for good reading! While yes, some words simply need to be memorized since they are not phonemically correct, such as the word "there", most words require you to be able to use phonics in order to figure out a new word, even big words (I know, I had to figure out how to pronounce catafalque, something I would not have been able to do without a foundation in phonics). I know people who have a hard time learning how to read new words because they were taught to memorize every single word. This is not good. There are literally hundreds of thousands of words in the English language. Learning to read primarily by memorization is doing your child a great disservice. Please do not get the "your baby can read" program.
All you need to do is play sound games, and read books to her (if you're not reading to her regularly it'll be harder for her to develop an interesting in reading), sing songs, etc. If you want to start on her letters, then use alphafriends. Each letter has an animal character, with hand movements to do along with saying the sound of each letter. I can ask my daughter's Kindergarten teacher from last year where you can get them.