diff --git a/src/masternode-sync.cpp b/src/masternode-sync.cpp
index f8d0f9e86..c54c07e58 100644
--- a/src/masternode-sync.cpp
+++ b/src/masternode-sync.cpp
@@ -9,6 +9,7 @@
 #include "masternode-budget.h"
 #include "masternode.h"
 #include "masternodeman.h"
+#include "spork.h"
 #include "util.h"
 #include "addrman.h"
 
@@ -76,6 +77,7 @@ void CMasternodeSync::Reset()
     countBudgetItemFin = 0;
     RequestedMasternodeAssets = MASTERNODE_SYNC_INITIAL;
     RequestedMasternodeAttempt = 0;
+    nAssetSyncStarted = GetTime();
 }
 
 void CMasternodeSync::AddedMasternodeList(uint256 hash)
@@ -152,8 +154,22 @@ void CMasternodeSync::GetNextAsset()
             break;
     }
     RequestedMasternodeAttempt = 0;
+    nAssetSyncStarted = GetTime();
 }
 
+std::string CMasternodeSync::GetSyncStatus()
+{
+    switch (masternodeSync.RequestedMasternodeAssets) {
+        case MASTERNODE_SYNC_INITIAL: return _("Synchronization doesn't yet started");
+        case MASTERNODE_SYNC_SPORKS: return _("Synchronizing sporks...");
+        case MASTERNODE_SYNC_LIST: return _("Synchronizing masternodes...");
+        case MASTERNODE_SYNC_MNW: return _("Synchronizing masternode winners...");
+        case MASTERNODE_SYNC_BUDGET: return _("Synchronizing budgets...");
+        case MASTERNODE_SYNC_FAILED: return _("Synchronization failed");
+        case MASTERNODE_SYNC_FINISHED: return _("Synchronization finished");
+    }
+    return "";
+}
 
 void CMasternodeSync::ProcessMessage(CNode* pfrom, std::string& strCommand, CDataStream& vRecv)
 {
@@ -284,6 +300,21 @@ void CMasternodeSync::Process()
                 if(pnode->HasFulfilledRequest("mnsync")) continue;
                 pnode->FulfilledRequest("mnsync");
 
+                // timeout
+                if(lastMasternodeList == 0 &&
+                (RequestedMasternodeAttempt >= MASTERNODE_SYNC_THRESHOLD*3 || GetTime() - nAssetSyncStarted > MASTERNODE_SYNC_TIMEOUT*3)) {
+                    if(IsSporkActive(SPORK_8_MASTERNODE_PAYMENT_ENFORCEMENT)) {
+                        LogPrintf("CMasternodeSync::Process - ERROR - Sync has failed, will retry later\n");
+                        RequestedMasternodeAssets = MASTERNODE_SYNC_FAILED;
+                        RequestedMasternodeAttempt = 0;
+                        lastFailure = GetTime();
+                        nCountFailures++;
+                    } else {
+                        GetNextAsset();
+                    }
+                    return;
+                }
+
                 mnodeman.DsegUpdate(pnode);
                 RequestedMasternodeAttempt++;
                 return;
@@ -298,6 +329,21 @@ void CMasternodeSync::Process()
                 if(pnode->HasFulfilledRequest("mnwsync")) continue;
                 pnode->FulfilledRequest("mnwsync");
 
+                // timeout
+                if(lastMasternodeWinner == 0 &&
+                (RequestedMasternodeAttempt >= MASTERNODE_SYNC_THRESHOLD*3 || GetTime() - nAssetSyncStarted > MASTERNODE_SYNC_TIMEOUT*3)) {
+                    if(IsSporkActive(SPORK_8_MASTERNODE_PAYMENT_ENFORCEMENT)) {
+                        LogPrintf("CMasternodeSync::Process - ERROR - Sync has failed, will retry later\n");
+                        RequestedMasternodeAssets = MASTERNODE_SYNC_FAILED;
+                        RequestedMasternodeAttempt = 0;
+                        lastFailure = GetTime();
+                        nCountFailures++;
+                    } else {
+                        GetNextAsset();
+                    }
+                    return;
+                }
+
 
                 CBlockIndex* pindexPrev = chainActive.Tip();
                 if(pindexPrev == NULL) return;
@@ -332,7 +378,9 @@ void CMasternodeSync::Process()
                 }
 
                 // timeout
-                if(lastBudgetItem == 0 && RequestedMasternodeAttempt >= MASTERNODE_SYNC_THRESHOLD*3) {
+                if(lastBudgetItem == 0 &&
+                (RequestedMasternodeAttempt >= MASTERNODE_SYNC_THRESHOLD*3 || GetTime() - nAssetSyncStarted > MASTERNODE_SYNC_TIMEOUT*3)) {
+                    // maybe there is no budgets at all, so just finish syncing
                     GetNextAsset();
                     activeMasternode.ManageStatus();
                     return;
diff --git a/src/masternode-sync.h b/src/masternode-sync.h
index c559a4624..f44dd3247 100644
--- a/src/masternode-sync.h
+++ b/src/masternode-sync.h
@@ -15,7 +15,7 @@
 #define MASTERNODE_SYNC_FAILED            998
 #define MASTERNODE_SYNC_FINISHED          999
 
-#define MASTERNODE_SYNC_TIMEOUT           7
+#define MASTERNODE_SYNC_TIMEOUT           5
 #define MASTERNODE_SYNC_THRESHOLD         4
 
 class CMasternodeSync;
@@ -53,12 +53,16 @@ public:
     int RequestedMasternodeAssets;
     int RequestedMasternodeAttempt;
 
+    // Time when current masternode asset sync started
+    int64_t nAssetSyncStarted;
+
     CMasternodeSync();
 
     void AddedMasternodeList(uint256 hash);
     void AddedMasternodeWinner(uint256 hash);
     void AddedBudgetItem(uint256 hash);
     void GetNextAsset();
+    std::string GetSyncStatus();
     void ProcessMessage(CNode* pfrom, std::string& strCommand, CDataStream& vRecv);
     bool IsBudgetFinEmpty();
     bool IsBudgetPropEmpty();
diff --git a/src/qt/bitcoingui.cpp b/src/qt/bitcoingui.cpp
index a57ef7716..6ac4621ef 100644
--- a/src/qt/bitcoingui.cpp
+++ b/src/qt/bitcoingui.cpp
@@ -758,46 +758,38 @@ void BitcoinGUI::setNumBlocks(int count)
 //    if(secs < 25*60) // 90*60 for bitcoin but we are 4x times faster
     if(masternodeSync.IsBlockchainSynced())
     {
+        QString strSyncStatus;
         tooltip = tr("Up to date") + QString(".<br>") + tooltip;
 
-        static int prevAttempt = -1;
-        static int prevAssets = -1;
-        static int progress = 0;
-        if(masternodeSync.RequestedMasternodeAttempt != prevAttempt || masternodeSync.RequestedMasternodeAssets != prevAssets)
-        {
+        if(masternodeSync.IsSynced()) {
+            progressBarLabel->setVisible(false);
+            progressBar->setVisible(false);
+            labelBlocksIcon->setPixmap(QIcon(":/icons/synced").pixmap(STATUSBAR_ICONSIZE, STATUSBAR_ICONSIZE));
+        } else {
+
+            int nAttempt;
+            int progress = 0;
+
             labelBlocksIcon->setPixmap(QIcon(QString(
                 ":/movies/spinner-%1").arg(spinnerFrame, 3, 10, QChar('0')))
                 .pixmap(STATUSBAR_ICONSIZE, STATUSBAR_ICONSIZE));
             spinnerFrame = (spinnerFrame + 1) % SPINNER_FRAMES;
-            progressBar->setMaximum(4 * MASTERNODE_SYNC_THRESHOLD);
-            prevAttempt = masternodeSync.RequestedMasternodeAttempt + 1;
-            prevAssets = masternodeSync.RequestedMasternodeAssets;
-            if(prevAttempt <= MASTERNODE_SYNC_THRESHOLD) progress = prevAttempt + (prevAssets - 1) * MASTERNODE_SYNC_THRESHOLD;
-            progressBar->setValue(progress);
+
 #ifdef ENABLE_WALLET
             if(walletFrame)
                 walletFrame->showOutOfSyncWarning(false);
 #endif // ENABLE_WALLET
+
+            nAttempt = masternodeSync.RequestedMasternodeAttempt < MASTERNODE_SYNC_THRESHOLD ?
+                        masternodeSync.RequestedMasternodeAttempt + 1 : MASTERNODE_SYNC_THRESHOLD;
+            progress = nAttempt + (masternodeSync.RequestedMasternodeAssets - 1) * MASTERNODE_SYNC_THRESHOLD;
+            progressBar->setMaximum(4 * MASTERNODE_SYNC_THRESHOLD);
+            progressBar->setValue(progress);
         }
-        switch (masternodeSync.RequestedMasternodeAssets) {
-            case MASTERNODE_SYNC_SPORKS:
-                progressBarLabel->setText(tr("Synchronizing sporks..."));
-                break;
-            case MASTERNODE_SYNC_LIST:
-                progressBarLabel->setText(tr("Synchronizing masternodes..."));
-                break;
-            case MASTERNODE_SYNC_MNW:
-                progressBarLabel->setText(tr("Synchronizing masternode winners..."));
-                break;
-            case MASTERNODE_SYNC_BUDGET:
-                progressBarLabel->setText(tr("Synchronizing budgets..."));
-                break;
-            case MASTERNODE_SYNC_FINISHED:
-                progressBarLabel->setVisible(false);
-                progressBar->setVisible(false);
-                labelBlocksIcon->setPixmap(QIcon(":/icons/synced").pixmap(STATUSBAR_ICONSIZE, STATUSBAR_ICONSIZE));
-                break;
-        }
+
+        strSyncStatus = QString(masternodeSync.GetSyncStatus().c_str());
+        progressBarLabel->setText(strSyncStatus);
+        tooltip = strSyncStatus + QString("<br>") + tooltip;
     }
     else
     {