diff --git a/code/__DEFINES/colors.dm b/code/__DEFINES/colors.dm
index fc67f448526..f399915e3e7 100644
--- a/code/__DEFINES/colors.dm
+++ b/code/__DEFINES/colors.dm
@@ -114,3 +114,12 @@
 #define	PIPE_COLOR_GREEN	"#00ff00"
 #define	PIPE_COLOR_YELLOW	"#ffcc00"
 #define	PIPE_COLOR_PURPLE	"#5c1ec0"
+
+///Main colors for UI themes
+#define COLOR_THEME_MIDNIGHT "#6086A0"
+#define COLOR_THEME_PLASMAFIRE "#FFB200"
+#define COLOR_THEME_RETRO "#24CA00"
+#define COLOR_THEME_SLIMECORE "#4FB259"
+#define COLOR_THEME_OPERATIVE "#B8221F"
+#define COLOR_THEME_GLASS "#75A4C4"
+#define COLOR_THEME_CLOCKWORK "#CFBA47"
diff --git a/code/__DEFINES/preferences.dm b/code/__DEFINES/preferences.dm
index ba292ab65f6..a198421a2cb 100644
--- a/code/__DEFINES/preferences.dm
+++ b/code/__DEFINES/preferences.dm
@@ -56,10 +56,11 @@
 #define PREFTOGGLE_2_REVERB_DISABLE	512
 #define PREFTOGGLE_2_FORCE_WHITE_RUNECHAT	1024
 #define PREFTOGGLE_2_SIMPLE_STAT_PANEL	2048
+#define PREFTOGGLE_2_SEE_ITEM_OUTLINES 	4096
 
-#define TOGGLES_2_TOTAL 			4095 // If you add or remove a preference toggle above, make sure you update this define with the total value of the toggles combined.
+#define TOGGLES_2_TOTAL 			8191 // If you add or remove a preference toggle above, make sure you update this define with the total value of the toggles combined.
 
-#define TOGGLES_2_DEFAULT (PREFTOGGLE_2_FANCYUI|PREFTOGGLE_2_ITEMATTACK|PREFTOGGLE_2_WINDOWFLASHING|PREFTOGGLE_2_RUNECHAT|PREFTOGGLE_2_DEATHMESSAGE|PREFTOGGLE_2_EMOTE_BUBBLE)
+#define TOGGLES_2_DEFAULT (PREFTOGGLE_2_FANCYUI|PREFTOGGLE_2_ITEMATTACK|PREFTOGGLE_2_WINDOWFLASHING|PREFTOGGLE_2_RUNECHAT|PREFTOGGLE_2_DEATHMESSAGE|PREFTOGGLE_2_EMOTE_BUBBLE|PREFTOGGLE_2_SEE_ITEM_OUTLINES)
 
 // Sanity checks
 #if TOGGLES_TOTAL > 16777215
diff --git a/code/game/objects/items.dm b/code/game/objects/items.dm
index 2d014e9e6c2..1a6edd1dd45 100644
--- a/code/game/objects/items.dm
+++ b/code/game/objects/items.dm
@@ -117,6 +117,12 @@ GLOBAL_DATUM_INIT(fire_overlay, /image, image("icon" = 'icons/goonstation/effect
 	var/in_inventory = FALSE //is this item equipped into an inventory slot or hand of a mob?
 	var/tip_timer = 0
 
+	// item hover FX
+	/// Is this item inside a storage object?
+	var/in_storage = FALSE
+	/// Holder var for the item outline filter, null when no outline filter on the item.
+	var/outline_filter
+
 /obj/item/New()
 	..()
 	for(var/path in actions_types)
@@ -131,6 +137,11 @@ GLOBAL_DATUM_INIT(fire_overlay, /image, image("icon" = 'icons/goonstation/effect
 	if(!move_resist)
 		determine_move_resist()
 
+/obj/item/Initialize(mapload)
+	. = ..()
+	if(istype(loc, /obj/item/storage)) //marks all items in storage as being such
+		in_storage = TRUE
+
 /obj/item/proc/determine_move_resist()
 	switch(w_class)
 		if(WEIGHT_CLASS_TINY)
@@ -406,6 +417,7 @@ GLOBAL_DATUM_INIT(fire_overlay, /image, image("icon" = 'icons/goonstation/effect
 	if((flags & NODROP) && !(initial(flags) & NODROP)) //Remove NODROP is dropped
 		flags &= ~NODROP
 	in_inventory = FALSE
+	remove_outline()
 	SEND_SIGNAL(src, COMSIG_ITEM_DROPPED,user)
 	if(!silent)
 		playsound(src, drop_sound, DROP_SOUND_VOLUME, ignore_walls = FALSE)
@@ -418,10 +430,12 @@ GLOBAL_DATUM_INIT(fire_overlay, /image, image("icon" = 'icons/goonstation/effect
 
 // called when this item is removed from a storage item, which is passed on as S. The loc variable is already set to the new destination before this is called.
 /obj/item/proc/on_exit_storage(obj/item/storage/S as obj)
+	in_storage = FALSE
 	return
 
 // called when this item is added into a storage item, which is passed on as S. The loc variable is already set to the storage item.
 /obj/item/proc/on_enter_storage(obj/item/storage/S as obj)
+	in_storage = TRUE
 	return
 
 /**
@@ -691,14 +705,24 @@ GLOBAL_DATUM_INIT(fire_overlay, /image, image("icon" = 'icons/goonstation/effect
 	openToolTip(user, src, params, title = name, content = "[desc]", theme = "")
 
 /obj/item/MouseEntered(location, control, params)
-	if(in_inventory)
+	if(in_inventory || in_storage)
 		var/timedelay = 8
-		var/user = usr
+		var/mob/user = usr
 		tip_timer = addtimer(CALLBACK(src, .proc/openTip, location, control, params, user), timedelay, TIMER_STOPPABLE)
+		if(QDELETED(src))
+			return
+		var/mob/living/L = user
+		if(!(user.client.prefs.toggles2 & PREFTOGGLE_2_SEE_ITEM_OUTLINES))
+			return
+		if(istype(L) && L.incapacitated(ignore_lying = TRUE))
+			apply_outline(L, COLOR_RED_GRAY) //if they're dead or handcuffed, let's show the outline as red to indicate that they can't interact with that right now
+		else
+			apply_outline(L) //if the player's alive and well we send the command with no color set, so it uses the theme's color
 
 /obj/item/MouseExited()
 	deltimer(tip_timer) //delete any in-progress timer if the mouse is moved off the item before it finishes
 	closeToolTip(usr)
+	remove_outline()
 
 /obj/item/MouseDrop_T(obj/item/I, mob/user)
 	if(!user || user.incapacitated(ignore_lying = TRUE) || src == I)
@@ -707,6 +731,41 @@ GLOBAL_DATUM_INIT(fire_overlay, /image, image("icon" = 'icons/goonstation/effect
 	if(loc && I.loc == loc && istype(loc, /obj/item/storage) && loc.Adjacent(user)) // Are we trying to swap two items in the storage?
 		var/obj/item/storage/S = loc
 		S.swap_items(src, I, user)
+	remove_outline() //get rid of the hover effect in case the mouse exit isn't called if someone drags and drops an item and somthing goes wrong
+
+/obj/item/proc/apply_outline(mob/user, outline_color = null)
+	if(!(in_inventory || in_storage) || QDELETED(src) || isobserver(user)) //cancel if the item isn't in an inventory, is being deleted, or if the person hovering is a ghost (so that people spectating you don't randomly make your items glow)
+		return
+	var/theme = lowertext(user.client.prefs.UI_style)
+	if(!outline_color) //if we weren't provided with a color, take the theme's color
+		switch(theme) //yeah it kinda has to be this way
+			if("midnight")
+				outline_color = COLOR_THEME_MIDNIGHT
+			if("plasmafire")
+				outline_color = COLOR_THEME_PLASMAFIRE
+			if("retro")
+				outline_color = COLOR_THEME_RETRO //just as garish as the rest of this theme
+			if("slimecore")
+				outline_color = COLOR_THEME_SLIMECORE
+			if("operative")
+				outline_color = COLOR_THEME_OPERATIVE
+			if("clockwork")
+				outline_color = COLOR_THEME_CLOCKWORK //if you want free gbp go fix the fact that clockwork's tooltip css is glass'
+			if("glass")
+				outline_color = COLOR_THEME_GLASS
+			else //this should never happen, hopefully
+				outline_color = COLOR_WHITE
+	if(color)
+		outline_color = COLOR_WHITE //if the item is recolored then the outline will be too, let's make the outline white so it becomes the same color instead of some ugly mix of the theme and the tint
+	if(outline_filter)
+		filters -= outline_filter
+	outline_filter = filter(type = "outline", size = 1, color = outline_color)
+	filters += outline_filter
+
+/obj/item/proc/remove_outline()
+	if(outline_filter)
+		filters -= outline_filter
+		outline_filter = null
 
 // Returns a numeric value for sorting items used as parts in machines, so they can be replaced by the rped
 /obj/item/proc/get_part_rating()
diff --git a/code/modules/client/preference/preferences_toggles.dm b/code/modules/client/preference/preferences_toggles.dm
index 2bb7b7529e2..21c81287a2b 100644
--- a/code/modules/client/preference/preferences_toggles.dm
+++ b/code/modules/client/preference/preferences_toggles.dm
@@ -356,3 +356,11 @@
 	prefs.toggles2 ^= PREFTOGGLE_2_SIMPLE_STAT_PANEL
 	prefs.save_preferences(src)
 	to_chat(src, "You will [(prefs.toggles2 & PREFTOGGLE_2_SIMPLE_STAT_PANEL) ? "no longer" : "now"] get detailed information on the status panel.")
+
+/client/verb/toggle_item_outlines()
+	set name = "Toggle Item Outlines"
+	set category = "Preferences"
+	set desc = "Toggles seeing item outlines on hover."
+	prefs.toggles2 ^= PREFTOGGLE_2_SEE_ITEM_OUTLINES
+	prefs.save_preferences(src)
+	to_chat(usr, "You will [(prefs.toggles2 & PREFTOGGLE_2_SEE_ITEM_OUTLINES) ? "now" : "no longer"] see item outlines on hover.")