This article uses the National Election Study to consider how stereotypes about Latinos influence white support for welfare. It shows that whites' stereotypes about Latino work ethic grow more positive as the size of the Latino population increases, suggesting positive effects of contact. Moreover, the effect of whites’ stereotypes about Latino—but not black—work ethic on support for welfare is contingent on ethnic context. In areas with few Latinos, the lazier whites think Latinos are, the less whites want to spend on welfare. However, in areas that are disproportionately Latino the more hardworking whites think Latinos are (controlling for whites' stereotypes about blacks), the less whites want to spend on welfare as well. This last result, this article argues, is the product of a social comparison between black and Latino work ethic.