diff --git a/playground/app/pages/components/badge.vue b/playground/app/pages/components/badge.vue
index 8694c259..b85227ee 100644
--- a/playground/app/pages/components/badge.vue
+++ b/playground/app/pages/components/badge.vue
@@ -36,14 +36,27 @@ const variants = Object.keys(theme.variants.variant) as Array<keyof typeof theme
         color="neutral"
       />
     </div>
-    <div class="flex items-center gap-2 ms-[-56px]">
+    <div class="flex items-center gap-2 ms-[-90px]">
       <UBadge v-for="size in sizes" :key="size" label="Badge" :size="size" />
     </div>
-    <div class="flex items-center gap-2 ms-[-86px]">
+    <div class="flex items-center gap-2 ms-[-122px]">
       <UBadge v-for="size in sizes" :key="size" icon="i-lucide-rocket" label="Badge" :size="size" />
     </div>
-    <div class="flex items-center gap-2 ms-[-86px]">
+    <div class="flex items-center gap-2 ms-[-130px]">
       <UBadge v-for="size in sizes" :key="size" :avatar="{ src: 'https://github.com/benjamincanac.png' }" label="Badge" :size="size" />
     </div>
+    <div class="flex items-center gap-2 ms-[-52px]">
+      <UBadge v-for="size in sizes" :key="size" icon="i-lucide-rocket" :size="size" />
+    </div>
+    <div class="flex items-center gap-2 ms-[-60px]">
+      <UBadge
+        v-for="size in sizes"
+        :key="size"
+        :avatar="{ src: 'https://github.com/benjamincanac.png' }"
+        :size="size"
+        color="neutral"
+        variant="outline"
+      />
+    </div>
   </div>
 </template>
diff --git a/src/runtime/components/Badge.vue b/src/runtime/components/Badge.vue
index 16f28b3f..bde5746e 100644
--- a/src/runtime/components/Badge.vue
+++ b/src/runtime/components/Badge.vue
@@ -26,6 +26,8 @@ export interface BadgeProps extends Omit<UseComponentIconsProps, 'loading' | 'lo
    * @defaultValue 'md'
    */
   size?: Badge['variants']['size']
+  /** Render the badge with equal padding on all sides. */
+  square?: boolean
   class?: any
   ui?: Badge['slots']
 }
@@ -50,7 +52,7 @@ import UAvatar from './Avatar.vue'
 const props = withDefaults(defineProps<BadgeProps>(), {
   as: 'span'
 })
-defineSlots<BadgeSlots>()
+const slots = defineSlots<BadgeSlots>()
 
 const appConfig = useAppConfig() as Badge['AppConfig']
 const { orientation, size: buttonGroupSize } = useButtonGroup<BadgeProps>(props)
@@ -60,6 +62,7 @@ const ui = computed(() => tv({ extend: tv(theme), ...(appConfig.ui?.badge || {})
   color: props.color,
   variant: props.variant,
   size: buttonGroupSize.value || props.size,
+  square: props.square || (!slots.default && !props.label),
   buttonGroup: orientation.value
 }))
 </script>
diff --git a/src/theme/badge.ts b/src/theme/badge.ts
index 22c184c3..62e65a73 100644
--- a/src/theme/badge.ts
+++ b/src/theme/badge.ts
@@ -53,6 +53,9 @@ export default (options: Required<ModuleOptions>) => ({
         leadingAvatarSize: '2xs',
         trailingIcon: 'size-6'
       }
+    },
+    square: {
+      true: ''
     }
   },
   compoundVariants: [...(options.theme.colors || []).map((color: string) => ({
@@ -87,6 +90,26 @@ export default (options: Required<ModuleOptions>) => ({
     color: 'neutral',
     variant: 'subtle',
     class: 'ring ring-inset ring-accented text-default bg-elevated'
+  }, {
+    size: 'xs',
+    square: true,
+    class: 'p-0.5'
+  }, {
+    size: 'sm',
+    square: true,
+    class: 'p-1'
+  }, {
+    size: 'md',
+    square: true,
+    class: 'p-1'
+  }, {
+    size: 'lg',
+    square: true,
+    class: 'p-1'
+  }, {
+    size: 'xl',
+    square: true,
+    class: 'p-1'
   }],
   defaultVariants: {
     color: 'primary',
diff --git a/test/components/Badge.spec.ts b/test/components/Badge.spec.ts
index 5378ee44..a9452e9e 100644
--- a/test/components/Badge.spec.ts
+++ b/test/components/Badge.spec.ts
@@ -21,6 +21,7 @@ describe('Badge', () => {
     ['with avatar', { props: { avatar: { src: 'https://github.com/benjamincanac.png' } } }],
     ['with avatar and leadingIcon', { props: { avatar: { src: 'https://github.com/benjamincanac.png' }, leadingIcon: 'i-lucide-arrow-left' } }],
     ['with avatar and trailingIcon', { props: { avatar: { src: 'https://github.com/benjamincanac.png' }, trailingIcon: 'i-lucide-arrow-right' } }],
+    ['with square', { props: { label: 'Badge', square: true } }],
     ['with as', { props: { label: 'Badge', as: 'div' } }],
     ['with class', { props: { label: 'Badge', class: 'rounded-full font-bold' } }],
     ['with ui', { props: { label: 'Badge', ui: { label: 'font-bold' } } }],
diff --git a/test/components/__snapshots__/Badge-vue.spec.ts.snap b/test/components/__snapshots__/Badge-vue.spec.ts.snap
index 3d754615..1d544baa 100644
--- a/test/components/__snapshots__/Badge-vue.spec.ts.snap
+++ b/test/components/__snapshots__/Badge-vue.spec.ts.snap
@@ -7,15 +7,15 @@ exports[`Badge > renders with as correctly 1`] = `
 </div>"
 `;
 
-exports[`Badge > renders with avatar and leadingIcon correctly 1`] = `"<span class="font-medium inline-flex items-center text-xs px-2 py-1 gap-1 rounded-md bg-primary text-inverted"><svg xmlns="http://www.w3.org/2000/svg" xmlns:xlink="http://www.w3.org/1999/xlink" aria-hidden="true" role="img" class="shrink-0 size-4" width="1em" height="1em" viewBox="0 0 16 16"></svg><!--v-if--><!--v-if--></span>"`;
+exports[`Badge > renders with avatar and leadingIcon correctly 1`] = `"<span class="font-medium inline-flex items-center text-xs gap-1 rounded-md bg-primary text-inverted p-1"><svg xmlns="http://www.w3.org/2000/svg" xmlns:xlink="http://www.w3.org/1999/xlink" aria-hidden="true" role="img" class="shrink-0 size-4" width="1em" height="1em" viewBox="0 0 16 16"></svg><!--v-if--><!--v-if--></span>"`;
 
 exports[`Badge > renders with avatar and trailingIcon correctly 1`] = `
-"<span class="font-medium inline-flex items-center text-xs px-2 py-1 gap-1 rounded-md bg-primary text-inverted"><span class="inline-flex items-center justify-center select-none overflow-hidden rounded-full align-middle bg-elevated size-4 text-[8px] shrink-0"><img role="img" src="https://github.com/benjamincanac.png" width="16" height="16" class="h-full w-full rounded-[inherit] object-cover"></span>
+"<span class="font-medium inline-flex items-center text-xs gap-1 rounded-md bg-primary text-inverted p-1"><span class="inline-flex items-center justify-center select-none overflow-hidden rounded-full align-middle bg-elevated size-4 text-[8px] shrink-0"><img role="img" src="https://github.com/benjamincanac.png" width="16" height="16" class="h-full w-full rounded-[inherit] object-cover"></span>
 <!--v-if--><svg xmlns="http://www.w3.org/2000/svg" xmlns:xlink="http://www.w3.org/1999/xlink" aria-hidden="true" role="img" class="shrink-0 size-4" width="1em" height="1em" viewBox="0 0 16 16"></svg></span>"
 `;
 
 exports[`Badge > renders with avatar correctly 1`] = `
-"<span class="font-medium inline-flex items-center text-xs px-2 py-1 gap-1 rounded-md bg-primary text-inverted"><span class="inline-flex items-center justify-center select-none overflow-hidden rounded-full align-middle bg-elevated size-4 text-[8px] shrink-0"><img role="img" src="https://github.com/benjamincanac.png" width="16" height="16" class="h-full w-full rounded-[inherit] object-cover"></span>
+"<span class="font-medium inline-flex items-center text-xs gap-1 rounded-md bg-primary text-inverted p-1"><span class="inline-flex items-center justify-center select-none overflow-hidden rounded-full align-middle bg-elevated size-4 text-[8px] shrink-0"><img role="img" src="https://github.com/benjamincanac.png" width="16" height="16" class="h-full w-full rounded-[inherit] object-cover"></span>
 <!--v-if-->
 <!--v-if--></span>"
 `;
@@ -27,18 +27,18 @@ exports[`Badge > renders with class correctly 1`] = `
 
 exports[`Badge > renders with default slot correctly 1`] = `"<span class="font-medium inline-flex items-center text-xs px-2 py-1 gap-1 rounded-md bg-primary text-inverted"><!--v-if-->Default slot<!--v-if--></span>"`;
 
-exports[`Badge > renders with icon correctly 1`] = `"<span class="font-medium inline-flex items-center text-xs px-2 py-1 gap-1 rounded-md bg-primary text-inverted"><svg xmlns="http://www.w3.org/2000/svg" xmlns:xlink="http://www.w3.org/1999/xlink" aria-hidden="true" role="img" class="shrink-0 size-4" width="1em" height="1em" viewBox="0 0 16 16"></svg><!--v-if--><!--v-if--></span>"`;
+exports[`Badge > renders with icon correctly 1`] = `"<span class="font-medium inline-flex items-center text-xs gap-1 rounded-md bg-primary text-inverted p-1"><svg xmlns="http://www.w3.org/2000/svg" xmlns:xlink="http://www.w3.org/1999/xlink" aria-hidden="true" role="img" class="shrink-0 size-4" width="1em" height="1em" viewBox="0 0 16 16"></svg><!--v-if--><!--v-if--></span>"`;
 
 exports[`Badge > renders with label correctly 1`] = `
 "<span class="font-medium inline-flex items-center text-xs px-2 py-1 gap-1 rounded-md bg-primary text-inverted"><!--v-if--><span class="truncate">Badge</span>
 <!--v-if--></span>"
 `;
 
-exports[`Badge > renders with leading and icon correctly 1`] = `"<span class="font-medium inline-flex items-center text-xs px-2 py-1 gap-1 rounded-md bg-primary text-inverted"><svg xmlns="http://www.w3.org/2000/svg" xmlns:xlink="http://www.w3.org/1999/xlink" aria-hidden="true" role="img" class="shrink-0 size-4" width="1em" height="1em" viewBox="0 0 16 16"></svg><!--v-if--><!--v-if--></span>"`;
+exports[`Badge > renders with leading and icon correctly 1`] = `"<span class="font-medium inline-flex items-center text-xs gap-1 rounded-md bg-primary text-inverted p-1"><svg xmlns="http://www.w3.org/2000/svg" xmlns:xlink="http://www.w3.org/1999/xlink" aria-hidden="true" role="img" class="shrink-0 size-4" width="1em" height="1em" viewBox="0 0 16 16"></svg><!--v-if--><!--v-if--></span>"`;
 
-exports[`Badge > renders with leading slot correctly 1`] = `"<span class="font-medium inline-flex items-center text-xs px-2 py-1 gap-1 rounded-md bg-primary text-inverted">Leading slot<!--v-if--><!--v-if--></span>"`;
+exports[`Badge > renders with leading slot correctly 1`] = `"<span class="font-medium inline-flex items-center text-xs gap-1 rounded-md bg-primary text-inverted p-1">Leading slot<!--v-if--><!--v-if--></span>"`;
 
-exports[`Badge > renders with leadingIcon correctly 1`] = `"<span class="font-medium inline-flex items-center text-xs px-2 py-1 gap-1 rounded-md bg-primary text-inverted"><svg xmlns="http://www.w3.org/2000/svg" xmlns:xlink="http://www.w3.org/1999/xlink" aria-hidden="true" role="img" class="shrink-0 size-4" width="1em" height="1em" viewBox="0 0 16 16"></svg><!--v-if--><!--v-if--></span>"`;
+exports[`Badge > renders with leadingIcon correctly 1`] = `"<span class="font-medium inline-flex items-center text-xs gap-1 rounded-md bg-primary text-inverted p-1"><svg xmlns="http://www.w3.org/2000/svg" xmlns:xlink="http://www.w3.org/1999/xlink" aria-hidden="true" role="img" class="shrink-0 size-4" width="1em" height="1em" viewBox="0 0 16 16"></svg><!--v-if--><!--v-if--></span>"`;
 
 exports[`Badge > renders with neutral variant outline correctly 1`] = `
 "<span class="font-medium inline-flex items-center text-xs px-2 py-1 gap-1 rounded-md ring ring-inset ring-accented text-default bg-default"><!--v-if--><span class="truncate">Badge</span>
@@ -105,11 +105,16 @@ exports[`Badge > renders with size xs correctly 1`] = `
 <!--v-if--></span>"
 `;
 
-exports[`Badge > renders with trailing and icon correctly 1`] = `"<span class="font-medium inline-flex items-center text-xs px-2 py-1 gap-1 rounded-md bg-primary text-inverted"><!--v-if--><!--v-if--><svg xmlns="http://www.w3.org/2000/svg" xmlns:xlink="http://www.w3.org/1999/xlink" aria-hidden="true" role="img" class="shrink-0 size-4" width="1em" height="1em" viewBox="0 0 16 16"></svg></span>"`;
+exports[`Badge > renders with square correctly 1`] = `
+"<span class="font-medium inline-flex items-center text-xs gap-1 rounded-md bg-primary text-inverted p-1"><!--v-if--><span class="truncate">Badge</span>
+<!--v-if--></span>"
+`;
 
-exports[`Badge > renders with trailing slot correctly 1`] = `"<span class="font-medium inline-flex items-center text-xs px-2 py-1 gap-1 rounded-md bg-primary text-inverted"><!--v-if--><!--v-if-->Trailing slot</span>"`;
+exports[`Badge > renders with trailing and icon correctly 1`] = `"<span class="font-medium inline-flex items-center text-xs gap-1 rounded-md bg-primary text-inverted p-1"><!--v-if--><!--v-if--><svg xmlns="http://www.w3.org/2000/svg" xmlns:xlink="http://www.w3.org/1999/xlink" aria-hidden="true" role="img" class="shrink-0 size-4" width="1em" height="1em" viewBox="0 0 16 16"></svg></span>"`;
 
-exports[`Badge > renders with trailingIcon correctly 1`] = `"<span class="font-medium inline-flex items-center text-xs px-2 py-1 gap-1 rounded-md bg-primary text-inverted"><!--v-if--><!--v-if--><svg xmlns="http://www.w3.org/2000/svg" xmlns:xlink="http://www.w3.org/1999/xlink" aria-hidden="true" role="img" class="shrink-0 size-4" width="1em" height="1em" viewBox="0 0 16 16"></svg></span>"`;
+exports[`Badge > renders with trailing slot correctly 1`] = `"<span class="font-medium inline-flex items-center text-xs gap-1 rounded-md bg-primary text-inverted p-1"><!--v-if--><!--v-if-->Trailing slot</span>"`;
+
+exports[`Badge > renders with trailingIcon correctly 1`] = `"<span class="font-medium inline-flex items-center text-xs gap-1 rounded-md bg-primary text-inverted p-1"><!--v-if--><!--v-if--><svg xmlns="http://www.w3.org/2000/svg" xmlns:xlink="http://www.w3.org/1999/xlink" aria-hidden="true" role="img" class="shrink-0 size-4" width="1em" height="1em" viewBox="0 0 16 16"></svg></span>"`;
 
 exports[`Badge > renders with ui correctly 1`] = `
 "<span class="font-medium inline-flex items-center text-xs px-2 py-1 gap-1 rounded-md bg-primary text-inverted"><!--v-if--><span class="truncate font-bold">Badge</span>
diff --git a/test/components/__snapshots__/Badge.spec.ts.snap b/test/components/__snapshots__/Badge.spec.ts.snap
index 16e2f112..c53a59ef 100644
--- a/test/components/__snapshots__/Badge.spec.ts.snap
+++ b/test/components/__snapshots__/Badge.spec.ts.snap
@@ -8,18 +8,18 @@ exports[`Badge > renders with as correctly 1`] = `
 `;
 
 exports[`Badge > renders with avatar and leadingIcon correctly 1`] = `
-"<span class="font-medium inline-flex items-center text-xs px-2 py-1 gap-1 rounded-md bg-primary text-inverted"><span class="iconify i-lucide:arrow-left shrink-0 size-4" aria-hidden="true"></span>
+"<span class="font-medium inline-flex items-center text-xs gap-1 rounded-md bg-primary text-inverted p-1"><span class="iconify i-lucide:arrow-left shrink-0 size-4" aria-hidden="true"></span>
 <!--v-if-->
 <!--v-if--></span>"
 `;
 
 exports[`Badge > renders with avatar and trailingIcon correctly 1`] = `
-"<span class="font-medium inline-flex items-center text-xs px-2 py-1 gap-1 rounded-md bg-primary text-inverted"><span class="inline-flex items-center justify-center select-none overflow-hidden rounded-full align-middle bg-elevated size-4 text-[8px] shrink-0"><img role="img" src="https://github.com/benjamincanac.png" width="16" height="16" class="h-full w-full rounded-[inherit] object-cover"></span>
+"<span class="font-medium inline-flex items-center text-xs gap-1 rounded-md bg-primary text-inverted p-1"><span class="inline-flex items-center justify-center select-none overflow-hidden rounded-full align-middle bg-elevated size-4 text-[8px] shrink-0"><img role="img" src="https://github.com/benjamincanac.png" width="16" height="16" class="h-full w-full rounded-[inherit] object-cover"></span>
 <!--v-if--><span class="iconify i-lucide:arrow-right shrink-0 size-4" aria-hidden="true"></span></span>"
 `;
 
 exports[`Badge > renders with avatar correctly 1`] = `
-"<span class="font-medium inline-flex items-center text-xs px-2 py-1 gap-1 rounded-md bg-primary text-inverted"><span class="inline-flex items-center justify-center select-none overflow-hidden rounded-full align-middle bg-elevated size-4 text-[8px] shrink-0"><img role="img" src="https://github.com/benjamincanac.png" width="16" height="16" class="h-full w-full rounded-[inherit] object-cover"></span>
+"<span class="font-medium inline-flex items-center text-xs gap-1 rounded-md bg-primary text-inverted p-1"><span class="inline-flex items-center justify-center select-none overflow-hidden rounded-full align-middle bg-elevated size-4 text-[8px] shrink-0"><img role="img" src="https://github.com/benjamincanac.png" width="16" height="16" class="h-full w-full rounded-[inherit] object-cover"></span>
 <!--v-if-->
 <!--v-if--></span>"
 `;
@@ -32,7 +32,7 @@ exports[`Badge > renders with class correctly 1`] = `
 exports[`Badge > renders with default slot correctly 1`] = `"<span class="font-medium inline-flex items-center text-xs px-2 py-1 gap-1 rounded-md bg-primary text-inverted"><!--v-if-->Default slot<!--v-if--></span>"`;
 
 exports[`Badge > renders with icon correctly 1`] = `
-"<span class="font-medium inline-flex items-center text-xs px-2 py-1 gap-1 rounded-md bg-primary text-inverted"><span class="iconify i-lucide:rocket shrink-0 size-4" aria-hidden="true"></span>
+"<span class="font-medium inline-flex items-center text-xs gap-1 rounded-md bg-primary text-inverted p-1"><span class="iconify i-lucide:rocket shrink-0 size-4" aria-hidden="true"></span>
 <!--v-if-->
 <!--v-if--></span>"
 `;
@@ -43,15 +43,15 @@ exports[`Badge > renders with label correctly 1`] = `
 `;
 
 exports[`Badge > renders with leading and icon correctly 1`] = `
-"<span class="font-medium inline-flex items-center text-xs px-2 py-1 gap-1 rounded-md bg-primary text-inverted"><span class="iconify i-lucide:arrow-left shrink-0 size-4" aria-hidden="true"></span>
+"<span class="font-medium inline-flex items-center text-xs gap-1 rounded-md bg-primary text-inverted p-1"><span class="iconify i-lucide:arrow-left shrink-0 size-4" aria-hidden="true"></span>
 <!--v-if-->
 <!--v-if--></span>"
 `;
 
-exports[`Badge > renders with leading slot correctly 1`] = `"<span class="font-medium inline-flex items-center text-xs px-2 py-1 gap-1 rounded-md bg-primary text-inverted">Leading slot<!--v-if--><!--v-if--></span>"`;
+exports[`Badge > renders with leading slot correctly 1`] = `"<span class="font-medium inline-flex items-center text-xs gap-1 rounded-md bg-primary text-inverted p-1">Leading slot<!--v-if--><!--v-if--></span>"`;
 
 exports[`Badge > renders with leadingIcon correctly 1`] = `
-"<span class="font-medium inline-flex items-center text-xs px-2 py-1 gap-1 rounded-md bg-primary text-inverted"><span class="iconify i-lucide:arrow-left shrink-0 size-4" aria-hidden="true"></span>
+"<span class="font-medium inline-flex items-center text-xs gap-1 rounded-md bg-primary text-inverted p-1"><span class="iconify i-lucide:arrow-left shrink-0 size-4" aria-hidden="true"></span>
 <!--v-if-->
 <!--v-if--></span>"
 `;
@@ -121,11 +121,16 @@ exports[`Badge > renders with size xs correctly 1`] = `
 <!--v-if--></span>"
 `;
 
-exports[`Badge > renders with trailing and icon correctly 1`] = `"<span class="font-medium inline-flex items-center text-xs px-2 py-1 gap-1 rounded-md bg-primary text-inverted"><!--v-if--><!--v-if--><span class="iconify i-lucide:arrow-right shrink-0 size-4" aria-hidden="true"></span></span>"`;
+exports[`Badge > renders with square correctly 1`] = `
+"<span class="font-medium inline-flex items-center text-xs gap-1 rounded-md bg-primary text-inverted p-1"><!--v-if--><span class="truncate">Badge</span>
+<!--v-if--></span>"
+`;
 
-exports[`Badge > renders with trailing slot correctly 1`] = `"<span class="font-medium inline-flex items-center text-xs px-2 py-1 gap-1 rounded-md bg-primary text-inverted"><!--v-if--><!--v-if-->Trailing slot</span>"`;
+exports[`Badge > renders with trailing and icon correctly 1`] = `"<span class="font-medium inline-flex items-center text-xs gap-1 rounded-md bg-primary text-inverted p-1"><!--v-if--><!--v-if--><span class="iconify i-lucide:arrow-right shrink-0 size-4" aria-hidden="true"></span></span>"`;
 
-exports[`Badge > renders with trailingIcon correctly 1`] = `"<span class="font-medium inline-flex items-center text-xs px-2 py-1 gap-1 rounded-md bg-primary text-inverted"><!--v-if--><!--v-if--><span class="iconify i-lucide:arrow-right shrink-0 size-4" aria-hidden="true"></span></span>"`;
+exports[`Badge > renders with trailing slot correctly 1`] = `"<span class="font-medium inline-flex items-center text-xs gap-1 rounded-md bg-primary text-inverted p-1"><!--v-if--><!--v-if-->Trailing slot</span>"`;
+
+exports[`Badge > renders with trailingIcon correctly 1`] = `"<span class="font-medium inline-flex items-center text-xs gap-1 rounded-md bg-primary text-inverted p-1"><!--v-if--><!--v-if--><span class="iconify i-lucide:arrow-right shrink-0 size-4" aria-hidden="true"></span></span>"`;
 
 exports[`Badge > renders with ui correctly 1`] = `
 "<span class="font-medium inline-flex items-center text-xs px-2 py-1 gap-1 rounded-md bg-primary text-inverted"><!--v-if--><span class="truncate font-bold">Badge</span>