One of the primary tasks of middle childhood is the formation of same sex peer relationships. Successful negotiation of this basic developmental process is associated with positive outcomes while deviations are associated with later dysfunctional behavior. Although the results of numerous studies demonstrate links between family factors and children?s social development, much of the variation in children?s social competence remains unexplained. Existing research has tended to focus on one or two domains of family life and their effects on children. What is missing from these studies is how multiple family factors combine to influence children?s interactions with peers and how children?s perceptions of their families may buffer or exacerbate the impact of these family processes. In a sample of 100 families, the proposed study uses concurrent and longitudinal assessments of family functioning to understand what predicts children?s social competence in the fourth grade. It also aims to validate a new measure, the Family Photo Narrative, designed by the applicant to asses children?s views of themselves and important family relationships. By examining simultaneously a number of risk and protective factors thought to be associated with children?s social development, this study has the potential to enhance preventive interventions targeted at optimizing children?s social competence with their peers.