The four Tequila types are:

  •  Blanco – comes straight out of the still and into the bottle. It’s also called silver or white.
  • Joven -  just a blanco that has had fake coloring added to it to make it look gold (like Cuervo Gold).
  •  Reposado and Añejo - aged tequila

Typically, for margaritas you should use a silver/blanco or reposado Tequila that is made 100% from the blue agave plant.

The smooth and aged Tequilas like an Añejo or the ultra aged and filtered do not make a great Margarita. You need that “bite” of the blanco/silver/white or reposado.

Miss Charming has a great site with valuable info about mixing margaritas and proper use of tequila.