diff --git a/auth/lib/gateway/authenticator.dart b/auth/lib/gateway/authenticator.dart
index 3f3c7c8974..1375146e48 100644
--- a/auth/lib/gateway/authenticator.dart
+++ b/auth/lib/gateway/authenticator.dart
@@ -73,7 +73,10 @@ class AuthenticatorGateway {
     );
   }
 
-  Future<List<AuthEntity>> getDiff(int sinceTime, {int limit = 500}) async {
+  Future<(List<AuthEntity>, int?)> getDiff(
+    int sinceTime, {
+    int limit = 500,
+  }) async {
     try {
       final response = await _enteDio.get(
         "/authenticator/entity/diff",
@@ -84,11 +87,12 @@ class AuthenticatorGateway {
       );
       final List<AuthEntity> authEntities = <AuthEntity>[];
       final diff = response.data["diff"] as List;
+      final int? unixTimeInMicroSeconds = response.data["timestamp"] as int?;
       for (var entry in diff) {
         final AuthEntity entity = AuthEntity.fromMap(entry);
         authEntities.add(entity);
       }
-      return authEntities;
+      return (authEntities, unixTimeInMicroSeconds);
     } catch (e) {
       if (e is DioException && e.response?.statusCode == 401) {
         throw UnauthorizedError();
diff --git a/auth/lib/services/authenticator_service.dart b/auth/lib/services/authenticator_service.dart
index ee0ad32bd4..559e85f81a 100644
--- a/auth/lib/services/authenticator_service.dart
+++ b/auth/lib/services/authenticator_service.dart
@@ -13,6 +13,7 @@ import 'package:ente_auth/models/authenticator/auth_entity.dart';
 import 'package:ente_auth/models/authenticator/auth_key.dart';
 import 'package:ente_auth/models/authenticator/entity_result.dart';
 import 'package:ente_auth/models/authenticator/local_auth_entity.dart';
+import 'package:ente_auth/services/preference_service.dart';
 import 'package:ente_auth/store/authenticator_db.dart';
 import 'package:ente_auth/store/offline_authenticator_db.dart';
 import 'package:ente_crypto_dart/ente_crypto_dart.dart';
@@ -194,8 +195,13 @@ class AuthenticatorService {
     final int lastSyncTime = _prefs.getInt(_lastEntitySyncTime) ?? 0;
     _logger.info("Current sync is $lastSyncTime");
     const int fetchLimit = 500;
-    final List<AuthEntity> result =
+    late final List<AuthEntity> result;
+    late final int? epochTimeInMicroseconds;
+    (result, epochTimeInMicroseconds) =
         await _gateway.getDiff(lastSyncTime, limit: fetchLimit);
+    PreferenceService.instance
+        .computeAndStoreTimeOffset(epochTimeInMicroseconds);
+
     _logger.info("${result.length} entries fetched from remote");
     if (result.isEmpty) {
       return;
diff --git a/auth/lib/services/preference_service.dart b/auth/lib/services/preference_service.dart
index 45a2cf0e66..773ee1b149 100644
--- a/auth/lib/services/preference_service.dart
+++ b/auth/lib/services/preference_service.dart
@@ -18,6 +18,7 @@ class PreferenceService {
   late final SharedPreferences _prefs;
 
   static const kHasShownCoachMarkKey = "has_shown_coach_mark_v2";
+  static const kLocalTimeOffsetKey = "local_time_offset";
   static const kShouldShowLargeIconsKey = "should_show_large_icons";
   static const kShouldHideCodesKey = "should_hide_codes";
   static const kShouldAutoFocusOnSearchBar = "should_auto_focus_on_search_bar";
@@ -114,4 +115,24 @@ class PreferenceService {
       return installedTimeinMillis;
     }
   }
+
+  // localEpochOffsetInMilliSecond returns the local epoch offset in milliseconds.
+  // This is used to adjust the time for TOTP calculations when device local time is not in sync with actual time.
+  int timeOffsetInMilliSeconds() {
+    return _prefs.getInt(kLocalTimeOffsetKey) ?? 0;
+  }
+
+  void computeAndStoreTimeOffset(
+    int? epochTimeInMicroseconds,
+  ) {
+    if (epochTimeInMicroseconds == null) {
+      _prefs.remove(kLocalTimeOffsetKey);
+      return;
+    }
+    int serverEpochTimeInMilliSecond = epochTimeInMicroseconds ~/ 1000;
+    int localEpochTimeInMilliSecond = DateTime.now().millisecondsSinceEpoch;
+    int localEpochOffset =
+        serverEpochTimeInMilliSecond - localEpochTimeInMilliSecond;
+    _prefs.setInt(kLocalTimeOffsetKey, localEpochOffset);
+  }
 }
diff --git a/auth/lib/utils/totp_util.dart b/auth/lib/utils/totp_util.dart
index 6b7f53ae5b..53b68be5ff 100644
--- a/auth/lib/utils/totp_util.dart
+++ b/auth/lib/utils/totp_util.dart
@@ -1,8 +1,14 @@
 import 'package:ente_auth/models/code.dart';
+import 'package:ente_auth/services/preference_service.dart';
 import 'package:flutter/foundation.dart';
 import 'package:otp/otp.dart' as otp;
 import 'package:steam_totp/steam_totp.dart';
 
+int millisecondsSinceEpoch() {
+  return DateTime.now().millisecondsSinceEpoch +
+      PreferenceService.instance.timeOffsetInMilliSeconds();
+}
+
 String getOTP(Code code) {
   if (code.type == Type.steam || code.issuer.toLowerCase() == 'steam') {
     return _getSteamCode(code);
@@ -12,7 +18,7 @@ String getOTP(Code code) {
   }
   return otp.OTP.generateTOTPCodeString(
     getSanitizedSecret(code.secret),
-    DateTime.now().millisecondsSinceEpoch,
+    millisecondsSinceEpoch(),
     length: code.digits,
     interval: code.period,
     algorithm: _getAlgorithm(code),
@@ -34,7 +40,7 @@ String _getSteamCode(Code code, [bool isNext = false]) {
   final SteamTOTP steamtotp = SteamTOTP(secret: code.secret);
 
   return steamtotp.generate(
-    DateTime.now().millisecondsSinceEpoch ~/ 1000 + (isNext ? code.period : 0),
+    millisecondsSinceEpoch() ~/ 1000 + (isNext ? code.period : 0),
   );
 }
 
@@ -44,7 +50,7 @@ String getNextTotp(Code code) {
   }
   return otp.OTP.generateTOTPCodeString(
     getSanitizedSecret(code.secret),
-    DateTime.now().millisecondsSinceEpoch + code.period * 1000,
+    millisecondsSinceEpoch() + code.period * 1000,
     length: code.digits,
     interval: code.period,
     algorithm: _getAlgorithm(code),
@@ -56,9 +62,7 @@ String getNextTotp(Code code) {
 // It returns the start time and a list of future codes.
 (int, List<String>) generateFutureTotpCodes(Code code, int count) {
   final int startTime =
-      ((DateTime.now().millisecondsSinceEpoch ~/ 1000) ~/ code.period) *
-          code.period *
-          1000;
+      ((millisecondsSinceEpoch() ~/ 1000) ~/ code.period) * code.period * 1000;
   final String secret = getSanitizedSecret(code.secret);
   final List<String> codes = [];
   if (code.type == Type.steam || code.issuer.toLowerCase() == 'steam') {