diff --git a/src/complete.cpp b/src/complete.cpp
index 3898a0f81..67d1522d2 100644
--- a/src/complete.cpp
+++ b/src/complete.cpp
@@ -1502,8 +1502,10 @@ void completer_t::perform() {
     // If we are completing a variable name or a tilde expansion user name, we do that and return.
     // No need for any other completions.
     const wcstring current_token = cur_tok.get_source(cmd);
-    if (try_complete_variable(current_token) || try_complete_user(current_token)) {
-        return;
+    if (cur_tok.location_in_or_at_end_of_source_range(cursor_pos)) {
+        if (try_complete_variable(current_token) || try_complete_user(current_token)) {
+            return;
+        }
     }
 
     if (cmd_tok.location_in_or_at_end_of_source_range(cursor_pos)) {
diff --git a/tests/checks/complete.fish b/tests/checks/complete.fish
index 28b1a3261..8ecb9f24f 100644
--- a/tests/checks/complete.fish
+++ b/tests/checks/complete.fish
@@ -165,3 +165,6 @@ end
 complete -c complete_test_function_desc -xa '(complete -Csome_function)'
 complete -C'complete_test_function_desc ' | count
 # CHECK: 1
+
+complete -c prev-arg-variable -f
+complete -C'prev-arg-variable $HOME '