diff --git a/libraries/physics/src/ShapeFactory.cpp b/libraries/physics/src/ShapeFactory.cpp
index 75362b72e6..74b0304ace 100644
--- a/libraries/physics/src/ShapeFactory.cpp
+++ b/libraries/physics/src/ShapeFactory.cpp
@@ -9,6 +9,8 @@
 //  See the accompanying file LICENSE or http://www.apache.org/licenses/LICENSE-2.0.html
 //
 
+#include <glm/gtx/norm.hpp>
+
 #include <SharedUtil.h> // for MILLIMETERS_PER_METER
 
 #include "ShapeFactory.h"
@@ -59,7 +61,8 @@ btConvexHullShape* ShapeFactory::createConvexHull(const QVector<glm::vec3>& poin
 
 btCollisionShape* ShapeFactory::createShapeFromInfo(const ShapeInfo& info) {
     btCollisionShape* shape = NULL;
-    switch(info.getType()) {
+    int type = info.getType();
+    switch(type) {
         case SHAPE_TYPE_BOX: {
             shape = new btBoxShape(glmToBullet(info.getHalfExtents()));
         }
@@ -95,5 +98,17 @@ btCollisionShape* ShapeFactory::createShapeFromInfo(const ShapeInfo& info) {
         }
         break;
     }
+    if (shape && type != SHAPE_TYPE_COMPOUND) {
+        if (glm::length2(info.getOffset()) > MIN_SHAPE_OFFSET * MIN_SHAPE_OFFSET) {
+            // this shape has an offset, which we support by wrapping the true shape
+            // in a btCompoundShape with a local transform
+            auto compound = new btCompoundShape(); 
+            btTransform trans;
+            trans.setIdentity();
+            trans.setOrigin(glmToBullet(info.getOffset()));
+            compound->addChildShape(trans, shape);
+            shape = compound;
+        }
+    }
     return shape;
 }
diff --git a/libraries/shared/src/ShapeInfo.cpp b/libraries/shared/src/ShapeInfo.cpp
index 676cd8c253..1d0cd56b86 100644
--- a/libraries/shared/src/ShapeInfo.cpp
+++ b/libraries/shared/src/ShapeInfo.cpp
@@ -181,6 +181,7 @@ bool ShapeInfo::contains(const glm::vec3& point) const {
 const DoubleHashKey& ShapeInfo::getHash() const {
     // NOTE: we cache the key so we only ever need to compute it once for any valid ShapeInfo instance.
     if (_doubleHashKey.isNull() && _type != SHAPE_TYPE_NONE) {
+        bool useOffset = glm::length2(_offset) > MIN_SHAPE_OFFSET * MIN_SHAPE_OFFSET;
         // The key is not yet cached therefore we must compute it!  To this end we bypass the const-ness
         // of this method by grabbing a non-const pointer to "this" and a non-const reference to _doubleHashKey.
         ShapeInfo* thisPtr = const_cast<ShapeInfo*>(this);
@@ -199,9 +200,11 @@ const DoubleHashKey& ShapeInfo::getHash() const {
             hash ^= DoubleHashKey::hashFunction(
                     (uint32_t)(_halfExtents[j] * MILLIMETERS_PER_METER + copysignf(1.0f, _halfExtents[j]) * 0.49f), 
                     primeIndex++);
-            hash ^= DoubleHashKey::hashFunction(
-                    (uint32_t)(_offset[j] * MILLIMETERS_PER_METER + copysignf(1.0f, _offset[j]) * 0.49f), 
-                    primeIndex++);
+            if (useOffset) {
+                hash ^= DoubleHashKey::hashFunction(
+                        (uint32_t)(_offset[j] * MILLIMETERS_PER_METER + copysignf(1.0f, _offset[j]) * 0.49f), 
+                        primeIndex++);
+            }
         }
         key.setHash(hash);
     
@@ -212,8 +215,10 @@ const DoubleHashKey& ShapeInfo::getHash() const {
             // so the cast to int produces a round() effect rather than a floor()
             uint32_t floatHash = DoubleHashKey::hashFunction2(
                     (uint32_t)(_halfExtents[j] * MILLIMETERS_PER_METER + copysignf(1.0f, _halfExtents[j]) * 0.49f));
-            floatHash ^= DoubleHashKey::hashFunction2(
-                    (uint32_t)(_offset[j] * MILLIMETERS_PER_METER + copysignf(1.0f, _offset[j]) * 0.49f));
+            if (useOffset) {
+                floatHash ^= DoubleHashKey::hashFunction2(
+                        (uint32_t)(_offset[j] * MILLIMETERS_PER_METER + copysignf(1.0f, _offset[j]) * 0.49f));
+            }
             hash += ~(floatHash << 17);
             hash ^=  (floatHash >> 11);
             hash +=  (floatHash << 4);
diff --git a/libraries/shared/src/ShapeInfo.h b/libraries/shared/src/ShapeInfo.h
index 62047745bf..a3fbe55f36 100644
--- a/libraries/shared/src/ShapeInfo.h
+++ b/libraries/shared/src/ShapeInfo.h
@@ -16,9 +16,12 @@
 #include <QString>
 #include <QUrl>
 #include <glm/glm.hpp>
+#include <glm/gtx/norm.hpp>
 
 #include "DoubleHashKey.h"
 
+const float MIN_SHAPE_OFFSET = 0.001f; // offsets less than 1mm will be ignored
+
 enum ShapeType {
     SHAPE_TYPE_NONE,
     SHAPE_TYPE_BOX,