diff --git a/src/fileio.c b/src/fileio.c
index ded95b728a..b3fc287504 100644
--- a/src/fileio.c
+++ b/src/fileio.c
@@ -7388,10 +7388,12 @@ vim_tempname(extra_char, keep)
 	    long	off;
 # endif
 
-	    /* expand $TMP, leave room for "/v1100000/999999999" */
+	    /* Expand $TMP, leave room for "/v1100000/999999999".
+	     * Skip the directory check if the expansion fails. */
 	    expand_env((char_u *)tempdirs[i], itmp, TEMPNAMELEN - 20);
-	    if (mch_isdir(itmp))		/* directory exists */
+	    if (itmp[0] != '$' && mch_isdir(itmp))
 	    {
+		/* directory exists */
 # ifdef __EMX__
 		/* If $TMP contains a forward slash (perhaps using bash or
 		 * tcsh), don't add a backslash, use a forward slash!
diff --git a/src/version.c b/src/version.c
index 3a3d34a99f..0de1ef56be 100644
--- a/src/version.c
+++ b/src/version.c
@@ -741,6 +741,8 @@ static char *(features[]) =
 
 static int included_patches[] =
 {   /* Add new patch number below this line */
+/**/
+    958,
 /**/
     957,
 /**/