diff --git a/playground/pages/reactive.vue b/playground/pages/reactive.vue
new file mode 100644
index 0000000..fe4ab5d
--- /dev/null
+++ b/playground/pages/reactive.vue
@@ -0,0 +1,29 @@
+<script setup lang="ts">
+const route = useRoute()
+const { $client } = useNuxtApp()
+const id = ref(1)
+// const { data: todo, pending, error } = await useAsyncData(() => $client.todo.getTodo.query(id.value), {
+//   watch: [id]
+// })
+
+const { data: todo, pending, error, refresh } = await $client.todo.getTodo.useQuery(id, {
+  watch: [id],
+})
+</script>
+
+<template>
+  <div v-if="pending">
+    Loading...
+  </div>
+  <div v-else-if="error?.data?.code">
+    Error: {{ error.data.code }}
+  </div>
+  <div v-else>
+    ID: {{ todo?.id }} <br>
+    Title: {{ todo?.title }} <br>
+    Completed: {{ todo?.completed }}
+  </div>
+  <button @click="id++">
+    Next Todo
+  </button>
+</template>
diff --git a/src/client/index.ts b/src/client/index.ts
index 1a8ca4e..b4e0d3e 100644
--- a/src/client/index.ts
+++ b/src/client/index.ts
@@ -4,7 +4,7 @@ import { createFlatProxy, createRecursiveProxy } from '@trpc/server/shared'
 import { hash } from 'ohash'
 import { type DecoratedProcedureRecord } from './types'
 // @ts-expect-error: Nuxt auto-imports
-import { getCurrentInstance, onScopeDispose, useAsyncData } from '#imports'
+import { getCurrentInstance, onScopeDispose, useAsyncData, unref } from '#imports'
 
 /**
  * Calculates the key used for `useAsyncData` call.
@@ -54,8 +54,8 @@ export function createNuxtProxyDecoration<TRouter extends AnyRouter> (name: stri
         controller = typeof AbortController !== 'undefined' ? new AbortController() : {} as AbortController
       }
 
-      const queryKey = getQueryKey(path, input)
-      return useAsyncData(queryKey, () => (client as any)[path].query(input, {
+      const queryKey = getQueryKey(path, unref(input))
+      return useAsyncData(queryKey, () => (client as any)[path].query(unref(input), {
         signal: controller?.signal,
         ...trpc
       }), asyncDataOptions)
diff --git a/src/client/types.ts b/src/client/types.ts
index 359857b..177336f 100644
--- a/src/client/types.ts
+++ b/src/client/types.ts
@@ -19,6 +19,7 @@ import type {
   KeysOf,
   PickFrom,
 } from 'nuxt/dist/app/composables/asyncData'
+import type { Ref } from 'vue'
 
 interface TRPCRequestOptions extends _TRPCRequestOptions {
   abortOnUnmount?: boolean
@@ -44,6 +45,8 @@ type SubscriptionResolver<
   ]
 ) => Unsubscribable
 
+type MaybeRef<T> = T | Ref<T>
+
 type DecorateProcedure<
   TProcedure extends AnyProcedure,
   TRouter extends AnyRouter,
@@ -55,7 +58,7 @@ type DecorateProcedure<
       DataT = ResT,
       PickKeys extends KeysOf<DataT> = KeysOf<DataT>,
      >(
-        input: inferProcedureInput<TProcedure>,
+        input: MaybeRef<inferProcedureInput<TProcedure>>,
         opts?: AsyncDataOptions<ResT, DataT, PickKeys> & { trpc?: TRPCRequestOptions },
       ) => AsyncData<PickFrom<DataT, PickKeys>, DataE>,
       query: Resolver<TProcedure>