diff --git a/tests/functional/codegen/features/test_assert.py b/tests/functional/codegen/features/test_assert.py
index efde44fbad..406bade926 100644
--- a/tests/functional/codegen/features/test_assert.py
+++ b/tests/functional/codegen/features/test_assert.py
@@ -28,6 +28,8 @@ def foo():
 
 def test_assert_reason(w3, get_contract_with_gas_estimation, tx_failed, memory_mocker):
     code = """
+err: String[32]
+
 @external
 def test(a: int128) -> int128:
     assert a > 1, "larger than one please"
@@ -43,6 +45,17 @@ def test2(a: int128, b: int128, extra_reason: String[32]) -> int128:
 @external
 def test3(reason_str: String[32]):
     raise reason_str
+
+@external
+def test4(a: int128, reason_str: String[32]) -> int128:
+    self.err = reason_str
+    assert a > 1, self.err
+    return 1 + a
+
+@external
+def test5(reason_str: String[32]):
+    self.err = reason_str
+    raise self.err
     """
     c = get_contract_with_gas_estimation(code)
 
@@ -66,6 +79,15 @@ def test3(reason_str: String[32]):
         c.test3("An exception")
     assert _fixup_err_str(e_info.value.args[0]) == "An exception"
 
+    assert c.test4(2, "msg") == 3
+    with pytest.raises(TransactionFailed) as e_info:
+        c.test4(0, "larger than one again please")
+    assert _fixup_err_str(e_info.value.args[0]) == "larger than one again please"
+
+    with pytest.raises(TransactionFailed) as e_info:
+        c.test5("A storage exception")
+    assert _fixup_err_str(e_info.value.args[0]) == "A storage exception"
+
 
 invalid_code = [
     """