Latinos are the largest minority group in the United States (U.S. Census, 2014), yet this term comprises individuals from multiple ethnicities who speak distinct varieties of Spanish. We investigated whether Spanish–English bilingual children (N = 140, ages 4–17) use Spanish varieties in their social judgments. The findings revealed that children distinguished varieties of Spanish but did not use Spanish dialects to make third‐person friendship judgments until 10–12 years; this effect became stronger in adolescence. In contrast, young children (4–6 years) made friendship judgments based on a speaker's language (English, Spanish). Thus, using language varieties as a social category and as a basis for making social inferences is a complex result of multiple influences for Spanish‐speaking children growing up bilingual in the United States.