diff --git a/assets/common.sh b/assets/common.sh
index 4c9b29c..1257d52 100644
--- a/assets/common.sh
+++ b/assets/common.sh
@@ -88,14 +88,25 @@ setup_tls() {
 }
 
 setup_helm() {
+  # $1 is the name of the payload file
+  # $2 is the name of the source directory
   init_server=$(jq -r '.source.helm_init_server // "false"' < $1)
 
+  # Compute tiller_namespace as follows:
+  # If kubeconfig_tiller_namespace is set, then tiller_namespace is the namespace from the kubeconfig
+  # If tiller_namespace is set and it is the name of a file, then tiller_namespace is the contents of the file
+  # If tiller_namespace is set and it is not the name of a file, then tiller_namespace is the literal
+  # Otherwise tiller_namespace defaults to kube-system
   kubeconfig_tiller_namespace=$(jq -r '.source.kubeconfig_tiller_namespace // "false"' <$1)
   if [ "$kubeconfig_tiller_namespace" = "true" ]
   then
     tiller_namespace=$(kubectl config view --minify -ojson | jq -r .contexts[].context.namespace)
   else
     tiller_namespace=$(jq -r '.source.tiller_namespace // "kube-system"' < $1)
+    if [ "$tiller_namespace" != "kube-system" -a -f "$2/$tiller_namespace" ]
+    then
+      tiller_namespace=$(cat "$2/$tiller_namespace")
+    fi
   fi
 
   tillerless=$(jq -r '.source.tillerless // "false"' < $payload)
@@ -234,6 +245,6 @@ setup_resource() {
   setup_kubernetes $1 $2
   echo "Initializing helm..."
   setup_tls $1
-  setup_helm $1
+  setup_helm $1 $2
   setup_repos $1
 }
diff --git a/assets/out b/assets/out
index cd43280..d09a4cf 100755
--- a/assets/out
+++ b/assets/out
@@ -20,7 +20,8 @@ echo "Resource setup successful."
 # Parse parameters
 tillerless=$(jq -r '.source.tillerless // "false"' < $payload)
 namespace=$(jq -r '.source.namespace // "default"' < $payload)
-tiller_namespace=$(jq -r '.params.tiller_namespace // ""' < $payload)
+# tiller_namespace is computed in a more robust manner in common.sh via setup_resource. Don't override it here!
+# tiller_namespace=$(jq -r '.params.tiller_namespace // ""' < $payload)
 chart=$(jq -r '.params.chart // ""' < $payload)
 version=$(jq -r '.params.version // ""' < $payload)
 namespace_file=$(jq -r '.params.namespace // ""' < $payload)
@@ -84,16 +85,6 @@ if [ "$tls_enabled" = true ]; then
   tls_flag="--tls"
 fi
 
-if [ ! -z "$tiller_namespace" ]; then
-  if [ -f "$source/$tiller_namespace" ]; then
-    tiller_namespace=`cat $source/$tiller_namespace`
-  else
-    tiller_namespace=$tiller_namespace
-  fi
-else
-  tiller_namespace=$(jq -r '.source.tiller_namespace // "kube-system"' < $payload)
-fi
-
 if [ "$tillerless" = true ]; then
   helm_bin="helm tiller run ${tiller_namespace} -- helm"
 else