diff --git a/include/sway/config.h b/include/sway/config.h
index cabc9cf5..d84eef69 100644
--- a/include/sway/config.h
+++ b/include/sway/config.h
@@ -761,6 +761,10 @@ void translate_keysyms(struct input_config *input_config);
 
 void binding_add_translated(struct sway_binding *binding, list_t *bindings);
 
+int config_get_blur_size();
+
+bool config_should_parameters_blur();
+
 /* Global config singleton. */
 extern struct sway_config *config;
 
diff --git a/include/sway/tree/workspace.h b/include/sway/tree/workspace.h
index b3d93a81..2ff51ea3 100644
--- a/include/sway/tree/workspace.h
+++ b/include/sway/tree/workspace.h
@@ -92,6 +92,8 @@ struct sway_output *workspace_output_get_highest_available(
 
 void workspace_detect_urgent(struct sway_workspace *workspace);
 
+bool should_workspace_have_blur(struct sway_workspace *ws);
+
 void workspace_for_each_container(struct sway_workspace *ws,
 		void (*f)(struct sway_container *con, void *data), void *data);
 
diff --git a/sway/config.c b/sway/config.c
index 85e53679..04c75171 100644
--- a/sway/config.c
+++ b/sway/config.c
@@ -1084,3 +1084,11 @@ void translate_keysyms(struct input_config *input_config) {
 	sway_log(SWAY_DEBUG, "Translated keysyms using config for device '%s'",
 			input_config->identifier);
 }
+
+int config_get_blur_size() {
+	return pow(2, config->blur_params.num_passes) * config->blur_params.radius;
+}
+
+bool config_should_parameters_blur() {
+	return config->blur_params.radius > 0 && config->blur_params.num_passes > 0;
+}
diff --git a/sway/desktop/output.c b/sway/desktop/output.c
index 45c2f1c4..45bbf0b8 100644
--- a/sway/desktop/output.c
+++ b/sway/desktop/output.c
@@ -689,6 +689,16 @@ static void damage_surface_iterator(struct sway_output *output,
 			ceil(output->wlr_output->scale) - surface->current.scale);
 	}
 	pixman_region32_translate(&damage, box.x, box.y);
+
+	if (view) {
+		int blur_size = view->container->blur_enabled ? config_get_blur_size() : 0;
+		wlr_region_expand(&damage, &damage, blur_size);
+		box.x -= blur_size;
+		box.y -= blur_size;
+		box.width += blur_size * 2;
+		box.height += blur_size * 2;
+	}
+
 	if (wlr_damage_ring_add(&output->damage_ring, &damage)) {
 		wlr_output_schedule_frame(output->wlr_output);
 	}
@@ -745,12 +755,14 @@ static void damage_child_views_iterator(struct sway_container *con,
 
 void output_damage_whole_container(struct sway_output *output,
 		struct sway_container *con) {
+	int shadow_sigma = con->shadow_enabled ? config->shadow_blur_sigma : 0;
+
 	// Pad the box by 1px, because the width is a double and might be a fraction
 	struct wlr_box box = {
-		.x = con->current.x - output->lx - 1,
-		.y = con->current.y - output->ly - 1,
-		.width = con->current.width + 2,
-		.height = con->current.height + 2,
+		.x = con->current.x - output->lx - 1 - shadow_sigma,
+		.y = con->current.y - output->ly - 1 - shadow_sigma,
+		.width = con->current.width + 2 + shadow_sigma * 2,
+		.height = con->current.height + 2 + shadow_sigma * 2,
 	};
 	scale_box(&box, output->wlr_output->scale);
 	if (wlr_damage_ring_add_box(&output->damage_ring, &box)) {
@@ -973,7 +985,6 @@ void handle_new_output(struct wl_listener *listener, void *data) {
 
 	transaction_commit_dirty();
 
-	// From sway upstream (fixes damage_ring bounds being INT_MAX)
 	int width, height;
 	wlr_output_transformed_resolution(output->wlr_output, &width, &height);
 	wlr_damage_ring_set_bounds(&output->damage_ring, width, height);
diff --git a/sway/desktop/render.c b/sway/desktop/render.c
index b566489e..fb47007f 100644
--- a/sway/desktop/render.c
+++ b/sway/desktop/render.c
@@ -38,13 +38,6 @@ struct render_data {
 	struct decoration_data deco_data;
 };
 
-struct workspace_effect_info {
-	bool container_wants_blur;
-	bool container_wants_shadow;
-	bool should_render_optimized_blur;
-	int expanded_size;
-};
-
 struct decoration_data get_undecorated_decoration_data() {
 	return (struct decoration_data) {
 		.alpha = 1.0f,
@@ -57,13 +50,6 @@ struct decoration_data get_undecorated_decoration_data() {
 	};
 }
 
-int get_blur_size() {
-	return pow(2, config->blur_params.num_passes) * config->blur_params.radius;
-}
-
-bool should_parameters_blur() {
-	return config->blur_params.radius > 0 && config->blur_params.num_passes > 0;
-}
 
 // TODO: contribute wlroots function to allow creating an fbox from a box?
 struct wlr_fbox wlr_fbox_from_wlr_box(struct wlr_box *box) {
@@ -241,7 +227,7 @@ void render_blur_segments(struct fx_renderer *renderer,
 
 // Blurs the main_buffer content and returns the blurred framebuffer
 struct fx_framebuffer *get_main_buffer_blur(struct fx_renderer *renderer, struct sway_output *output,
-		pixman_region32_t *original_damage, const float box_matrix[static 9], const struct wlr_box *box) {
+		pixman_region32_t *original_damage, const struct wlr_box *box) {
 	struct wlr_output *wlr_output = output->wlr_output;
 	struct wlr_box monitor_box = get_monitor_box(wlr_output);
 
@@ -255,9 +241,9 @@ struct fx_framebuffer *get_main_buffer_blur(struct fx_renderer *renderer, struct
 	pixman_region32_t damage;
 	pixman_region32_init(&damage);
 	pixman_region32_copy(&damage, original_damage);
-	wlr_region_transform(&damage, &damage, transform,
-			monitor_box.width, monitor_box.height);
-	wlr_region_expand(&damage, &damage, get_blur_size());
+	wlr_region_transform(&damage, &damage, transform, monitor_box.width, monitor_box.height);
+
+	wlr_region_expand(&damage, &damage, config_get_blur_size());
 
 	// Initially blur main_buffer content into the effects_buffers
 	struct fx_framebuffer *current_buffer = &renderer->main_buffer;
@@ -352,8 +338,7 @@ void render_blur(bool optimized, struct sway_output *output,
 		pixman_region32_intersect(&inverse_opaque, &inverse_opaque, &damage);
 
 		// Render the blur into its own buffer
-		buffer = get_main_buffer_blur(renderer, output, &inverse_opaque,
-				wlr_output->transform_matrix, dst_box);
+		buffer = get_main_buffer_blur(renderer, output, &inverse_opaque, dst_box);
 	}
 
 	// Draw the blurred texture
@@ -408,7 +393,7 @@ static void render_surface_iterator(struct sway_output *output,
 	deco_data.corner_radius *= wlr_output->scale;
 
 	// render blur (view->surface == surface excludes blurring subsurfaces)
-	if (deco_data.blur && should_parameters_blur() && view->surface == surface) {
+	if (deco_data.blur && config_should_parameters_blur() && view->surface == surface) {
 		pixman_region32_t opaque_region;
 		pixman_region32_init(&opaque_region);
 
@@ -497,7 +482,7 @@ void render_whole_output(struct fx_renderer *renderer, struct wlr_output *wlr_ou
 	render_texture(wlr_output, output_damage, texture, NULL, &monitor_box, matrix, get_undecorated_decoration_data());
 }
 
-void render_monitor_blur(struct sway_output *output, pixman_region32_t *damage) {
+void render_output_blur(struct sway_output *output, pixman_region32_t *damage) {
 	struct wlr_output *wlr_output = output->wlr_output;
 	struct fx_renderer *renderer = output->renderer;
 
@@ -506,8 +491,7 @@ void render_monitor_blur(struct sway_output *output, pixman_region32_t *damage)
 	pixman_region32_init_rect(&fake_damage, 0, 0, monitor_box.width, monitor_box.height);
 
 	// Render the blur
-	struct fx_framebuffer *buffer = get_main_buffer_blur(renderer, output, &fake_damage,
-			wlr_output->transform_matrix, &monitor_box);
+	struct fx_framebuffer *buffer = get_main_buffer_blur(renderer, output, &fake_damage, &monitor_box);
 
 	// Render the newly blurred content into the blur_buffer
 	fx_framebuffer_create(&renderer->blur_buffer,
@@ -799,7 +783,7 @@ static void render_saved_view(struct sway_view *view, struct sway_output *output
 		deco_data.corner_radius *= wlr_output->scale;
 
 		// render blur
-		if (deco_data.blur && should_parameters_blur()) {
+		if (deco_data.blur && config_should_parameters_blur()) {
 			struct wlr_gles2_texture_attribs attribs;
 			wlr_gles2_texture_get_attribs(saved_buf->buffer->texture, &attribs);
 
@@ -1750,75 +1734,6 @@ static void render_seatops(struct sway_output *output,
 	}
 }
 
-struct find_effect_iter_data {
-	struct workspace_effect_info *effect_info;
-	bool blur_buffer_dirty;
-};
-
-static bool find_con_effect_iterator(struct sway_container *con, void* _data) {
-	struct sway_view *view = con->view;
-	struct find_effect_iter_data *data = _data;
-	struct workspace_effect_info *effect_info = data->effect_info;
-
-	if (!view) {
-		return false;
-	}
-
-	if (con->blur_enabled && !view->surface->opaque) {
-		effect_info->container_wants_blur = true;
-
-		bool is_floating = container_is_floating(con);
-		// Check if we should render optimized blur
-		if (data->blur_buffer_dirty
-				// Only test floating windows when xray is enabled
-				&& (!is_floating || (is_floating && config->blur_xray))) {
-			effect_info->should_render_optimized_blur = true;
-		}
-	}
-	if (con->shadow_enabled) {
-		effect_info->container_wants_shadow = true;
-	}
-
-	// Stop the iteration if all of the effects have been found.
-	// Ensures that no effect is skipped if returning early
-	return effect_info->container_wants_blur
-		&& effect_info->container_wants_shadow
-		&& effect_info->should_render_optimized_blur;
-}
-
-static struct workspace_effect_info get_workspace_effect_info(struct sway_output *sway_output) {
-	struct fx_renderer *renderer = sway_output->renderer;
-	struct sway_workspace *workspace = sway_output->current.active_workspace;
-
-	struct workspace_effect_info effect_info = {
-		.container_wants_blur = false,
-		.container_wants_shadow = false,
-		.should_render_optimized_blur = false,
-		.expanded_size = 0
-	};
-
-	if (!workspace_is_visible(workspace)) {
-		return effect_info;
-	}
-
-	// Iterate through the workspace containers and check if any effects are requested
-	struct find_effect_iter_data iter_data = {
-		.effect_info = &effect_info,
-		.blur_buffer_dirty = renderer->blur_buffer_dirty
-	};
-	workspace_find_container(workspace, find_con_effect_iterator, &iter_data);
-
-	// Set the expanded damage region
-	bool shadow_enabled = effect_info.container_wants_shadow || config->shadow_enabled;
-	int shadow_sigma = shadow_enabled ? config->shadow_blur_sigma : 0;
-	bool blur_enabled = effect_info.container_wants_blur || config->blur_enabled;
-	int blur_size = blur_enabled ? get_blur_size() : 0;
-	// +1 as a margin of error
-	effect_info.expanded_size = MAX(shadow_sigma, blur_size) + 1;
-
-	return effect_info;
-}
-
 void output_render(struct sway_output *output, struct timespec *when,
 		pixman_region32_t *damage) {
 	struct wlr_output *wlr_output = output->wlr_output;
@@ -1829,12 +1744,18 @@ void output_render(struct sway_output *output, struct timespec *when,
 		return;
 	}
 
+	/* we need to track extended damage for blur (as it is expanded in output.c),
+	   before we expand it again later in this function
+	 */
+	pixman_region32_t extended_damage;
+	pixman_region32_init(&extended_damage);
+	pixman_region32_copy(&extended_damage, damage);
+
 	struct sway_container *fullscreen_con = root->fullscreen_global;
 	if (!fullscreen_con) {
 		fullscreen_con = workspace->current.fullscreen;
 	}
 
-
 	struct wlr_box monitor_box = get_monitor_box(wlr_output);
 	wlr_box_transform(&monitor_box, &monitor_box,
 			wlr_output_transform_invert(wlr_output->transform),
@@ -1842,56 +1763,24 @@ void output_render(struct sway_output *output, struct timespec *when,
 
 	fx_renderer_begin(renderer, monitor_box.width, monitor_box.height);
 
-	int width, height;
-	wlr_output_transformed_resolution(wlr_output, &width, &height);
+	int output_width, output_height;
+	wlr_output_transformed_resolution(wlr_output, &output_width, &output_height);
+
 	if (debug.damage == DAMAGE_RERENDER) {
-		pixman_region32_union_rect(damage, damage, 0, 0, width, height);
+		pixman_region32_union_rect(damage, damage, 0, 0, output_width, output_height);
 	}
 
-	bool has_blur = false;
-	bool blur_optimize_should_render = false;
-	bool damage_not_empty = pixman_region32_not_empty(damage);
-	pixman_region32_t extended_damage;
-	pixman_region32_init(&extended_damage);
-	if (!fullscreen_con && !server.session_lock.locked && damage_not_empty) {
-		// Check if there are any windows to blur
-		struct workspace_effect_info effect_info = get_workspace_effect_info(output);
-		has_blur = effect_info.container_wants_blur || config->blur_enabled;
-		if (effect_info.should_render_optimized_blur) {
-			blur_optimize_should_render = true;
-			// Damage the whole output
-			pixman_region32_union_rect(damage, damage, 0, 0, width, height);
-		}
-
-		// Extend the damaged region
-		int expanded_size = effect_info.expanded_size;
-		if (expanded_size > 0) {
-			int32_t damage_width = damage->extents.x2 - damage->extents.x1;
-			int32_t damage_height = damage->extents.y2 - damage->extents.y1;
-			// Limit the damage extent to the size of the monitor to prevent overflow
-			if (damage_width > width || damage_height > height) {
-				pixman_region32_intersect_rect(damage, damage, 0, 0, width, height);
-			}
-
-			wlr_region_expand(damage, damage, expanded_size);
-			pixman_region32_copy(&extended_damage, damage);
-			wlr_region_expand(damage, damage, expanded_size);
-		} else {
-			pixman_region32_copy(&extended_damage, damage);
-		}
-	} else {
-		pixman_region32_copy(&extended_damage, damage);
-	}
-
-	if (debug.damage == DAMAGE_HIGHLIGHT && damage_not_empty) {
-		fx_renderer_clear((float[]){1, 1, 0, 1});
-	}
-
-	if (!damage_not_empty) {
+	if (!pixman_region32_not_empty(damage)) {
 		// Output isn't damaged but needs buffer swap
 		goto renderer_end;
 	}
 
+	if (debug.damage == DAMAGE_HIGHLIGHT) {
+		fx_framebuffer_bind(&renderer->wlr_buffer);
+		fx_renderer_clear((float[]){1, 1, 0, 1});
+		fx_framebuffer_bind(&renderer->main_buffer);
+	}
+
 	if (server.session_lock.locked) {
 		float clear_color[] = {0.0f, 0.0f, 0.0f, 1.0f};
 		if (server.session_lock.lock == NULL) {
@@ -1965,6 +1854,19 @@ void output_render(struct sway_output *output, struct timespec *when,
 		render_unmanaged(output, damage, &root->xwayland_unmanaged);
 #endif
 	} else {
+		bool should_render_blur = should_workspace_have_blur(workspace);
+		if (should_render_blur) {
+			// ensure that the damage isn't expanding past the output's size
+			int32_t damage_width = damage->extents.x2 - damage->extents.x1;
+			int32_t damage_height = damage->extents.y2 - damage->extents.y1;
+			if (damage_width > output_width || damage_height > output_height) {
+				pixman_region32_intersect_rect(damage, damage, 0, 0, output_width, output_height);
+				pixman_region32_intersect_rect(&extended_damage, &extended_damage, 0, 0, output_width, output_height);
+			} else {
+				wlr_region_expand(damage, damage, config_get_blur_size());
+			}
+		}
+
 		float clear_color[] = {0.25f, 0.25f, 0.25f, 1.0f};
 
 		int nrects;
@@ -1979,9 +1881,10 @@ void output_render(struct sway_output *output, struct timespec *when,
 		render_layer_toplevel(output, damage,
 			&output->layers[ZWLR_LAYER_SHELL_V1_LAYER_BOTTOM]);
 
-		bool blur_enabled = has_blur && should_parameters_blur();
-		if (blur_enabled && blur_optimize_should_render && renderer->blur_buffer_dirty) {
-			render_monitor_blur(output, damage);
+		// check if the background needs to be blurred
+		if (config_should_parameters_blur() && renderer->blur_buffer_dirty && should_render_blur) {
+			pixman_region32_union_rect(damage, damage, 0, 0, output_width, output_height);
+			render_output_blur(output, damage);
 		}
 
 		render_workspace(output, damage, workspace, workspace->current.focused);
@@ -2029,6 +1932,7 @@ render_overlay:
 renderer_end:
 	// Draw the contents of our buffer into the wlr buffer
 	fx_framebuffer_bind(&renderer->wlr_buffer);
+
 	float clear_color[] = {0.0f, 0.0f, 0.0f, 1.0f};
 	if (pixman_region32_not_empty(&extended_damage)) {
 		int nrects;
@@ -2038,34 +1942,30 @@ renderer_end:
 			fx_renderer_clear(clear_color);
 		}
 	}
+
 	render_whole_output(renderer, wlr_output, &extended_damage, &renderer->main_buffer.texture);
-	fx_renderer_scissor(NULL);
 	fx_renderer_end(renderer);
 
+	fx_renderer_scissor(NULL);
+
 	// Draw the software cursors
 	wlr_renderer_begin(output->server->wlr_renderer, wlr_output->width, wlr_output->height);
 	wlr_output_render_software_cursors(wlr_output, damage);
 	wlr_renderer_end(output->server->wlr_renderer);
-	fx_renderer_scissor(NULL);
 
 	pixman_region32_t frame_damage;
 	pixman_region32_init(&frame_damage);
 
 	enum wl_output_transform transform = wlr_output_transform_invert(wlr_output->transform);
-	/*
-	 * Extend the frame damage by the blur size to properly calc damage for the
-	 * next buffer swap. Thanks Emersion for your excellent damage tracking blog-post!
-	 */
-	wlr_region_transform(&frame_damage, &extended_damage, transform, width, height);
+	wlr_region_transform(&frame_damage, &extended_damage, transform, output_width, output_height);
+	pixman_region32_fini(&extended_damage);
 
-	if (debug.damage != DAMAGE_DEFAULT || blur_optimize_should_render) {
+	if (debug.damage != DAMAGE_DEFAULT) {
 		pixman_region32_union_rect(&frame_damage, &frame_damage,
 			0, 0, wlr_output->width, wlr_output->height);
 	}
 
 	wlr_output_set_damage(wlr_output, &frame_damage);
-
-	pixman_region32_fini(&extended_damage);
 	pixman_region32_fini(&frame_damage);
 
 	if (!wlr_output_commit(wlr_output)) {
diff --git a/sway/tree/workspace.c b/sway/tree/workspace.c
index ee940466..161b1e9c 100644
--- a/sway/tree/workspace.c
+++ b/sway/tree/workspace.c
@@ -690,6 +690,21 @@ void workspace_detect_urgent(struct sway_workspace *workspace) {
 	}
 }
 
+static bool find_blurred_con_iterator(struct sway_container *con, void *data) {
+	struct sway_view *view = con->view;
+	if (!view) {
+		return false;
+	}
+	return con->blur_enabled && !view->surface->opaque;
+}
+
+bool should_workspace_have_blur(struct sway_workspace *ws) {
+	if (!workspace_is_visible(ws)) {
+		return false;
+	}
+	return (bool)workspace_find_container(ws, find_blurred_con_iterator, NULL);
+}
+
 void workspace_for_each_container(struct sway_workspace *ws,
 		void (*f)(struct sway_container *con, void *data), void *data) {
 	// Tiling