diff --git a/src/fsm.c b/src/fsm.c
index 8b0b27beb..b51c5cbf6 100644
--- a/src/fsm.c
+++ b/src/fsm.c
@@ -685,8 +685,11 @@ static int state_chg(struct osmo_fsm_inst *fi, uint32_t new_state,
 	if (!keep_timer
 	    || (keep_timer && !osmo_timer_pending(&fi->timer))) {
 		fi->T = T;
-		if (timeout_ms)
-			osmo_timer_schedule(&fi->timer, timeout_ms / 1000, timeout_ms % 1000);
+		if (timeout_ms) {
+			osmo_timer_schedule(&fi->timer,
+			      /* seconds */ (timeout_ms / 1000),
+			 /* microseconds */ (timeout_ms % 1000) * 1000);
+		}
 	}
 
 	/* Call 'onenter' last, user might terminate FSM from there */
diff --git a/tests/fsm/fsm_test.c b/tests/fsm/fsm_test.c
index ec31dd2e5..6fa0ae718 100644
--- a/tests/fsm/fsm_test.c
+++ b/tests/fsm/fsm_test.c
@@ -441,15 +441,13 @@ static void test_state_chg_Tms(void)
 	OSMO_ASSERT(timeout_fired == -1);
 
 	fake_time_passes(0, 350000); /* +350ms, 1s 100ms total */
-	/* OSMO_ASSERT(timeout_fired == -1); */
-
-	/* FIXME: the timeout expires here, earlier than expected */
+	OSMO_ASSERT(timeout_fired == -1);
 
 	fake_time_passes(0, 200000); /* +200ms, 1s 300ms total */
-	/* OSMO_ASSERT(timeout_fired == -1); */
+	OSMO_ASSERT(timeout_fired == -1);
 
 	fake_time_passes(0, 37000); /* +37ms, 1s 337ms total */
-	/* OSMO_ASSERT(timeout_fired == 4242); */
+	OSMO_ASSERT(timeout_fired == 4242);
 
 	osmo_fsm_inst_term(fi, OSMO_FSM_TERM_REQUEST, NULL);
 
diff --git a/tests/fsm/fsm_test.err b/tests/fsm/fsm_test.err
index f140d2e75..51bf5da3d 100644
--- a/tests/fsm/fsm_test.err
+++ b/tests/fsm/fsm_test.err
@@ -137,9 +137,9 @@ Test_FSM{NULL}: State change to ONE (T4242, 1337ms)
 Total time passed: 0.500000 s
 Total time passed: 0.750000 s
 Total time passed: 1.100000 s
-Test_FSM{ONE}: Timeout of T4242
 Total time passed: 1.300000 s
 Total time passed: 1.337000 s
+Test_FSM{ONE}: Timeout of T4242
 Test_FSM{ONE}: Terminating (cause = OSMO_FSM_TERM_REQUEST)
 Test_FSM{ONE}: Freeing instance
 Test_FSM{ONE}: Deallocated