diff --git a/examples/qwen3/README.md b/examples/qwen3/README.md
new file mode 100644
index 000000000..a3d35881d
--- /dev/null
+++ b/examples/qwen3/README.md
@@ -0,0 +1,46 @@
+# Finetune Qwen3 with Axolotl
+
+[Qwen3](https://huggingface.co/collections/Qwen/qwen3) are a family of open source models trained by Alibaba.
+
+This guide shows how to fine-tune it with Axolotl with multi-turn conversations and proper masking.
+
+## Getting started
+
+1. Install Axolotl following the [installation guide](https://docs.axolotl.ai/docs/installation.html).
+
+2. Install [Cut Cross Entropy](https://docs.axolotl.ai/docs/custom_integrations.html#cut-cross-entropy) to reduce training VRAM usage.
+
+3. Run the finetuning example:
+
+    ```bash
+    axolotl train examples/qwen3/32b-qlora.yaml
+    ```
+
+Let us know how it goes. Happy finetuning! 🚀
+
+### Chat template masking a few tokens off
+
+If you notice that the `chat_template` masking for assistant prompts are off by a few tokens, please ensure that you are adding the below to the yaml.
+
+```yaml
+chat_template: qwen3
+```
+
+### TIPS
+
+- For inference, please check the official model card as it depends on your reasoning mode.
+- You can run a full finetuning by removing the `adapter: qlora` and `load_in_4bit: true` from the config.
+- Read more on how to load your own dataset at [docs](https://docs.axolotl.ai/docs/dataset_loading.html).
+- The dataset format follows the OpenAI Messages format as seen [here](https://docs.axolotl.ai/docs/dataset-formats/conversation.html#chat_template).
+
+## Optimization Guides
+
+Please check the [Optimizations doc](https://docs.axolotl.ai/docs/optimizations.html).
+
+## Related Resources
+
+- [Qwen3 Blog](https://qwenlm.github.io/blog/qwen3/)
+- [Axolotl Docs](https://docs.axolotl.ai)
+- [Axolotl Website](https://axolotl.ai)
+- [Axolotl GitHub](https://github.com/axolotl-ai-cloud/axolotl)
+- [Axolotl Discord](https://discord.gg/7m9sfhzaf3)
diff --git a/src/axolotl/prompt_strategies/chat_template.py b/src/axolotl/prompt_strategies/chat_template.py
index 28155810f..0fec64d81 100644
--- a/src/axolotl/prompt_strategies/chat_template.py
+++ b/src/axolotl/prompt_strategies/chat_template.py
@@ -95,6 +95,7 @@ class ChatTemplatePrompter(Prompter):
         add_generation_prompt=False,
         images=None,
         tools=None,
+        real_last_index=None,
     ):
         """
         Build a prompt from a conversation.
@@ -114,6 +115,9 @@ class ChatTemplatePrompter(Prompter):
         if tools:
             chat_template_kwargs["tools"] = tools
 
+        if real_last_index:
+            chat_template_kwargs["real_last_index"] = real_last_index
+
         if self.processor:
             if not callable(self.processor):
                 raise TypeError("Processor must be callable")
@@ -631,11 +635,17 @@ class ChatTemplateStrategy(PromptTokenizingStrategy):
         turns_with_empty = turns[:turn_idx] + [empty_turn]
         turns_with_content = turns[: turn_idx + 1]
 
+        real_last_index = len(turns) - 1
+
         # Generate the conversation up to the turn, with final turn replaced with dummy content
-        dummy_ids = self.prompter.build_prompt(turns_with_empty, tools=tools)  # type: ignore
+        dummy_ids = self.prompter.build_prompt(
+            turns_with_empty, tools=tools, real_last_index=real_last_index
+        )  # type: ignore
 
         # Generate the conversation up to the turn, with final turn included
-        full_ids = self.prompter.build_prompt(turns_with_content, tools=tools)  # type: ignore
+        full_ids = self.prompter.build_prompt(
+            turns_with_content, tools=tools, real_last_index=real_last_index
+        )  # type: ignore
 
         if not full_ids or not dummy_ids:
             LOG.warning(f"Empty template generated for turn {turn_idx}")
diff --git a/src/axolotl/utils/chat_templates/templates/qwen3.jinja b/src/axolotl/utils/chat_templates/templates/qwen3.jinja
index 09b82ed03..77ea906e7 100644
--- a/src/axolotl/utils/chat_templates/templates/qwen3.jinja
+++ b/src/axolotl/utils/chat_templates/templates/qwen3.jinja
@@ -15,6 +15,12 @@
     {%- endif %}
 {%- endif %}
 {%- set ns = namespace(multi_step_tool=true, last_query_index=messages|length - 1) %}
+{#- Determine the real last index: use provided value or default to messages length - 1 #}
+{%- if real_last_index is defined and real_last_index is not none %}
+    {%- set ns.real_last_index = real_last_index %}
+{%- else %}
+    {%- set ns.real_last_index = messages|length - 1 %}
+{%- endif %}
 {%- for message in messages[::-1] %}
     {%- set index = (messages|length - 1) - loop.index0 %}
     {%- if ns.multi_step_tool and message.role == "user" and not(message.content.startswith('<tool_response>') and message.content.endswith('</tool_response>')) %}
@@ -37,7 +43,7 @@
             {%- endif %}
         {%- endif %}
         {%- if loop.index0 > ns.last_query_index %}
-            {%- if loop.last or (not loop.last and reasoning_content) %}
+            {%- if loop.index0 == ns.real_last_index or (loop.index0 != ns.real_last_index and reasoning_content) %}
                 {{- '<|im_start|>' + message.role + '\n<think>\n' + reasoning_content.strip('\n') + '\n</think>\n\n' + content.lstrip('\n') }}
             {%- else %}
                 {{- '<|im_start|>' + message.role + '\n' + content }}
diff --git a/src/axolotl/utils/mistral/mistral_tokenizer.py b/src/axolotl/utils/mistral/mistral_tokenizer.py
index af174cdac..3ce6be780 100644
--- a/src/axolotl/utils/mistral/mistral_tokenizer.py
+++ b/src/axolotl/utils/mistral/mistral_tokenizer.py
@@ -80,6 +80,9 @@ class HFMistralTokenizer(MistralCommonTokenizer):
     ) -> str | list[int]:
         """Patched fn to handle setting serving mode, continue_final_message, remove chat_template and add_generation_prompt kwarg"""
 
+        # pop unnecessary kwarg for mistral
+        kwargs.pop("real_last_index", None)
+
         try:
             if add_generation_prompt:
                 self._set_mode(ValidationMode.serving)