diff --git a/Engine/source/T3D/fps/guiShapeNameHud.cpp b/Engine/source/T3D/fps/guiShapeNameHud.cpp
index 11120df49..9ec1afac4 100644
--- a/Engine/source/T3D/fps/guiShapeNameHud.cpp
+++ b/Engine/source/T3D/fps/guiShapeNameHud.cpp
@@ -60,6 +60,8 @@ class GuiShapeNameHud : public GuiControl {
    bool     mShowLabelFrame;
    bool     mShowLabelFill;
 
+   Point2I  mLabelPadding;
+
 protected:
    void drawName( Point2I offset, const char *buf, F32 opacity);
 
@@ -119,6 +121,7 @@ GuiShapeNameHud::GuiShapeNameHud()
    mShowFrame = mShowFill = true;
    mVerticalOffset = 0.5f;
    mDistanceFade = 0.1f;
+   mLabelPadding.set(0, 0);
 }
 
 void GuiShapeNameHud::initPersistFields()
@@ -136,6 +139,7 @@ void GuiShapeNameHud::initPersistFields()
    addField( "showFrame",  TypeBool, Offset( mShowFrame, GuiShapeNameHud ), "If true, we draw the frame of the control."  );
    addField( "showLabelFill",  TypeBool, Offset( mShowLabelFill, GuiShapeNameHud ), "If true, we draw a background for each shape name label." );
    addField( "showLabelFrame", TypeBool, Offset( mShowLabelFrame, GuiShapeNameHud ), "If true, we draw a frame around each shape name label."  );
+   addField( "labelPadding", TypePoint2I, Offset( mLabelPadding, GuiShapeNameHud ), "The padding (in pixels) between the label text and the frame." );
    addField( "verticalOffset", TypeF32, Offset( mVerticalOffset, GuiShapeNameHud ), "Amount to vertically offset the control in relation to the ShapeBase object in focus." );
    addField( "distanceFade", TypeF32, Offset( mDistanceFade, GuiShapeNameHud ), "Visibility distance (how far the player must be from the ShapeBase object in focus) for this control to render." );
    endGroup("Misc");
@@ -286,13 +290,13 @@ void GuiShapeNameHud::onRender( Point2I, const RectI &updateRect)
 /// @param   opacity Opacity of name (a fraction).
 void GuiShapeNameHud::drawName(Point2I offset, const char *name, F32 opacity)
 {
-   F32 width = mProfile->mFont->getStrWidth((const UTF8 *)name);
-   F32 height = mProfile->mFont->getHeight();
+   F32 width = mProfile->mFont->getStrWidth((const UTF8 *)name) + mLabelPadding.x * 2;
+   F32 height = mProfile->mFont->getHeight() + mLabelPadding.y * 2;
    Point2I extent = Point2I(width, height);
 
    // Center the name
    offset.x -= width / 2;
-   offset.y -= height;
+   offset.y -= height / 2;
 
    // Background fill first
    if (mShowLabelFill)
@@ -301,7 +305,7 @@ void GuiShapeNameHud::drawName(Point2I offset, const char *name, F32 opacity)
    // Deal with opacity and draw.
    mTextColor.alpha = opacity;
    GFX->getDrawUtil()->setBitmapModulation(mTextColor);
-   GFX->getDrawUtil()->drawText(mProfile->mFont, offset, name);
+   GFX->getDrawUtil()->drawText(mProfile->mFont, offset + mLabelPadding, name);
    GFX->getDrawUtil()->clearBitmapModulation();
 
    // Border last