diff --git a/Content.Shared/Hands/Components/SharedHandsComponent.cs b/Content.Shared/Hands/Components/SharedHandsComponent.cs
index dbcafe26c1..1ebab628e4 100644
--- a/Content.Shared/Hands/Components/SharedHandsComponent.cs
+++ b/Content.Shared/Hands/Components/SharedHandsComponent.cs
@@ -441,14 +441,24 @@ namespace Content.Shared.Hands.Components
             var origin = Owner.Transform.MapPosition;
             var other = targetCoords.ToMap(Owner.EntityManager);
 
+            var dropVector = other.Position - origin.Position;
+            var requestedDropDistance = (dropVector.Length);
+
+            if (dropVector.Length > SharedInteractionSystem.InteractionRange)
+            {
+                dropVector = dropVector.Normalized * SharedInteractionSystem.InteractionRange;
+                other = new MapCoordinates(origin.Position + dropVector, other.MapId);
+            }
+
             var dropLength = EntitySystem.Get<SharedInteractionSystem>().UnobstructedDistance(origin, other, ignoredEnt: Owner);
-            dropLength = MathF.Min(dropLength, SharedInteractionSystem.InteractionRange);
 
-            var dropVector = origin.Position;
-            if (dropLength != 0)
-                dropVector += (other.Position - origin.Position).Normalized * dropLength;
+            var diff = requestedDropDistance - dropLength;
 
-            return targetCoords.WithPosition(dropVector);
+            // If we come up short then offset the drop location.
+            if (diff > 0)
+                return targetCoords.Offset(-dropVector.Normalized * diff);
+
+            return targetCoords;
         }
 
         /// <summary>