diff --git a/.gitignore b/.gitignore
index 25458deb7..246bef6a8 100644
--- a/.gitignore
+++ b/.gitignore
@@ -13,6 +13,7 @@ Cargo.lock
 
 # Intellij IDE configuration
 .idea/
+/*.iml
 
 # Compiled files for documentation
 docs/node_modules
diff --git a/docs/config/README.md b/docs/config/README.md
index d6e3c2f97..ef327c9c7 100644
--- a/docs/config/README.md
+++ b/docs/config/README.md
@@ -153,10 +153,11 @@ git repo that you're currently in.
 
 ### Options
 
-| Variable            | Default | Description                                                                     |
-| ------------------- | ------- | ------------------------------------------------------------------------------- |
-| `truncation_length` | `3`     | The number of parent folders that the current directory should be truncated to. |
-| `disabled`          | `false` | Disables the `directory` module.                                                |
+| Variable            | Default | Description                                                                      |
+| ------------------- | ------- | -------------------------------------------------------------------------------- |
+| `truncation_length` | `3`     | The number of parent folders that the current directory should be truncated to.  |
+| `truncate_to_repo`  | `true`  | Whether or not to truncate to the root of the git repo that you're currently in. |
+| `disabled`          | `false` | Disables the `directory` module.                                                 |
 
 ### Example
 
diff --git a/src/modules/directory.rs b/src/modules/directory.rs
index 51c776e40..ee3924b98 100644
--- a/src/modules/directory.rs
+++ b/src/modules/directory.rs
@@ -24,22 +24,26 @@ pub fn module<'a>(context: &'a Context) -> Option<Module<'a>> {
     let truncation_length = module
         .config_value_i64("truncation_length")
         .unwrap_or(DIR_TRUNCATION_LENGTH);
+    let truncate_to_repo = module.config_value_bool("truncate_to_repo").unwrap_or(true);
 
     let current_dir = &context.current_dir;
     log::debug!("Current directory: {:?}", current_dir);
 
     let dir_string;
-    if let Some(repo_root) = &context.repo_root {
-        // Contract the path to the git repo root
-        let repo_folder_name = repo_root.file_name().unwrap().to_str().unwrap();
+    match &context.repo_root {
+        Some(repo_root) if truncate_to_repo => {
+            // Contract the path to the git repo root
+            let repo_folder_name = repo_root.file_name().unwrap().to_str().unwrap();
 
-        dir_string = contract_path(current_dir, repo_root, repo_folder_name);
-    } else {
-        // Contract the path to the home directory
-        let home_dir = dirs::home_dir().unwrap();
+            dir_string = contract_path(current_dir, repo_root, repo_folder_name);
+        }
+        _ => {
+            // Contract the path to the home directory
+            let home_dir = dirs::home_dir().unwrap();
 
-        dir_string = contract_path(current_dir, &home_dir, HOME_SYMBOL);
-    }
+            dir_string = contract_path(current_dir, &home_dir, HOME_SYMBOL);
+        }
+    };
 
     // Truncate the dir string to the maximum number of path components
     let truncated_dir_string = truncate(dir_string, truncation_length as usize);
diff --git a/tests/testsuite/directory.rs b/tests/testsuite/directory.rs
index 7bbafe9b2..05ac33707 100644
--- a/tests/testsuite/directory.rs
+++ b/tests/testsuite/directory.rs
@@ -207,3 +207,65 @@ fn truncated_directory_in_git_repo() -> io::Result<()> {
     assert_eq!(expected, actual);
     Ok(())
 }
+
+#[test]
+#[ignore]
+fn directory_in_git_repo_truncate_to_repo_false() -> io::Result<()> {
+    let tmp_dir = TempDir::new_in(dirs::home_dir().unwrap())?;
+    let repo_dir = tmp_dir.path().join("above-repo").join("rocket-controls");
+    let dir = repo_dir.join("src/meters/fuel-gauge");
+    fs::create_dir_all(&dir)?;
+    Repository::init(&repo_dir).unwrap();
+
+    let output = common::render_module("directory")
+        .use_config(toml::toml! {
+            [directory]
+            // Don't truncate the path at all.
+            truncation_length = 5
+            truncate_to_repo = false
+        })
+        .arg("--path")
+        .arg(dir)
+        .output()?;
+    let actual = String::from_utf8(output.stdout).unwrap();
+
+    let expected = format!(
+        "in {} ",
+        Color::Cyan
+            .bold()
+            .paint("above-repo/rocket-controls/src/meters/fuel-gauge")
+    );
+    assert_eq!(expected, actual);
+    Ok(())
+}
+
+#[test]
+#[ignore]
+fn directory_in_git_repo_truncate_to_repo_true() -> io::Result<()> {
+    let tmp_dir = TempDir::new_in(dirs::home_dir().unwrap())?;
+    let repo_dir = tmp_dir.path().join("above-repo").join("rocket-controls");
+    let dir = repo_dir.join("src/meters/fuel-gauge");
+    fs::create_dir_all(&dir)?;
+    Repository::init(&repo_dir).unwrap();
+
+    let output = common::render_module("directory")
+        .use_config(toml::toml! {
+            [directory]
+            // `truncate_to_repo = true` should display the truncated path
+            truncation_length = 5
+            truncate_to_repo = true
+        })
+        .arg("--path")
+        .arg(dir)
+        .output()?;
+    let actual = String::from_utf8(output.stdout).unwrap();
+
+    let expected = format!(
+        "in {} ",
+        Color::Cyan
+            .bold()
+            .paint("rocket-controls/src/meters/fuel-gauge")
+    );
+    assert_eq!(expected, actual);
+    Ok(())
+}