Used by parents so they can talk about secret subject matter in front of the kids.

Mom: Want to take the K-I-D-S out for some I-C-E C-R-E-A-M?
Dad: Isn't tonight B-A-T-H night?
Mom: No, that was yesterday.
Dad: I meant, isn't it our B-A-T-H night?
Mom: (gives Dad that "knowing" look) Oh, right. We could use the I-C-E C-R-E-A-M more than they could anyway, couldn't we?
Dad: I'll get our special B-A-T-H T-O-Y-S.
Daughter: (innocently) Daddy, why can't I play with your special bath toys?
Dad: (cursing under his breath) I'll explain it when you're older.

This brings us to the most important point when using spelling in this manner: Keep on top of your child's spelling skills at all times...Hooked on Phonics may be working too well.