In this talk, I will present some empirical data from year one of a sequential study with 3- and 5-year-old Norwegian-speaking children which aims, at large, to track their individual pragmatic development with respect to non-literal language processing. The preliminary data from year one come from two experiments in which we used visual world paradigms with eye-tracking and picture selection tasks to uncover important contextual and social effects on how children process noun-noun compounds and idiomatic expressions, and a third experiment in which we solicited lexical productions for novel items. Confirmatory analyses of the data provided further evidence for a distinct stage in pragmatic development that may be underpinned by broader social development. Exploratory analyses across the three data sets from year one generated some novel hypotheses that we are testing now for year two of the study which I will also present briefly.