diff --git a/lwk_wollet/src/tx_builder.rs b/lwk_wollet/src/tx_builder.rs
index 843f4d1a..14234780 100644
--- a/lwk_wollet/src/tx_builder.rs
+++ b/lwk_wollet/src/tx_builder.rs
@@ -1172,16 +1172,23 @@ impl TxBuilder {
             });
         }
         let satoshi_change = satoshi_in - satoshi_out - temp_fee;
-        let addressee = if let Some(address) = self.drain_to {
-            Recipient::from_address(satoshi_change, &address, wollet.policy_asset())
-        } else {
-            wollet.addressee_change(
+        // Track whether we add a change/drain output (needed later for fee adjustment).
+        // Skip change only when: drain_lbtc is set AND there are explicit recipients AND no drain_to.
+        // If there are no recipients (satoshi_out == 0), we always need a change/drain output.
+        let has_change_output = self.drain_to.is_some() || !self.drain_lbtc || satoshi_out == 0;
+        if let Some(address) = self.drain_to {
+            let addressee =
+                Recipient::from_address(satoshi_change, &address, wollet.policy_asset());
+            wollet.add_output(&mut pset, &addressee)?;
+        } else if !self.drain_lbtc || satoshi_out == 0 {
+            let addressee = wollet.addressee_change(
                 satoshi_change,
                 wollet.policy_asset(),
                 &mut last_unused_internal,
-            )?
-        };
-        wollet.add_output(&mut pset, &addressee)?;
+            )?;
+            wollet.add_output(&mut pset, &addressee)?;
+        }
+
         let fee_output =
             Output::new_explicit(Script::default(), temp_fee, wollet.policy_asset(), None);
         pset.add_output(fee_output);
@@ -1203,7 +1210,7 @@ impl TxBuilder {
 
         let vsize = weight.div_ceil(4);
         let fee = (vsize as f32 * self.fee_rate / 1000.0).ceil() as u64;
-        if satoshi_in <= (satoshi_out + fee) {
+        if satoshi_in < (satoshi_out + fee) {
             return Err(Error::InsufficientFunds {
                 missing_sats: (satoshi_out + fee + 1) - satoshi_in, // +1 to ensure we have more than just equal
                 asset_id: wollet.policy_asset(),
@@ -1214,8 +1221,11 @@ impl TxBuilder {
         // Replace change and fee outputs
         let n_outputs = pset.n_outputs();
         let outputs = pset.outputs_mut();
-        let change_output = &mut outputs[n_outputs - 2]; // index check: we always have the lbtc change and the fee output at least
-        change_output.amount = Some(satoshi_change);
+        // Update change output only if it exists (not when drain_lbtc without drain_to)
+        if has_change_output {
+            let change_output = &mut outputs[n_outputs - 2]; // index check: we always have the lbtc change and the fee output at least
+            change_output.amount = Some(satoshi_change);
+        }
         let fee_output = &mut outputs[n_outputs - 1];
         fee_output.amount = Some(fee);
 
diff --git a/lwk_wollet/tests/e2e.rs b/lwk_wollet/tests/e2e.rs
index ceaf503f..ca856ce5 100644
--- a/lwk_wollet/tests/e2e.rs
+++ b/lwk_wollet/tests/e2e.rs
@@ -1367,6 +1367,53 @@ fn drain() {
     }
 }
 
+#[test]
+fn send_all_vs_send_balance_minus_fee() {
+    // Create a send_all transaction to extract the fee, then verify that sending
+    // (balance - fee) with a normal transaction results in the same outcome.
+    let env = TestEnvBuilder::from_env().with_electrum().build();
+    let signer = generate_signer();
+    let view_key = generate_view_key();
+    let desc = format!("ct({},elwpkh({}/*))", view_key, signer.xpub());
+    let signer = AnySigner::Software(signer);
+
+    let client = test_client_electrum(&env.electrum_url());
+    let mut wallet = TestWollet::new(client, &desc);
+
+    // Fund the wallet
+    wallet.fund_btc(&env);
+
+    let node_address = env.elementsd_getnewaddress();
+    let balance = wallet.balance_btc();
+
+    // Create a send_all transaction without broadcasting to extract the fee
+    let pset_send_all = wallet
+        .tx_builder()
+        .drain_lbtc_wallet()
+        .drain_lbtc_to(node_address.clone())
+        .finish()
+        .unwrap();
+
+    let details = wallet.wollet.get_details(&pset_send_all).unwrap();
+    let fee = details.balance.fee;
+
+    // Create a normal send transaction with amount = balance - fee
+    let amount = balance - fee;
+    let mut pset = wallet
+        .tx_builder()
+        .drain_lbtc_wallet()
+        .add_lbtc_recipient(&node_address, amount)
+        .unwrap()
+        .finish()
+        .unwrap();
+
+    wallet.sign(&signer, &mut pset);
+    wallet.send(&mut pset);
+
+    // Verify the wallet is now empty
+    assert_eq!(wallet.balance_btc(), 0);
+}
+
 fn wait_tx_update<C: BlockchainBackend>(wallet: &mut TestWollet<C>) {
     for _ in 0..50 {
         if let Some(update) = wallet.client.full_scan(&wallet.wollet).unwrap() {