diff --git a/.changeset/sixty-pens-remain.md b/.changeset/sixty-pens-remain.md
new file mode 100644
index 00000000..41d25429
--- /dev/null
+++ b/.changeset/sixty-pens-remain.md
@@ -0,0 +1,5 @@
+---
+'@moonbeam-network/xcm-builder': patch
+---
+
+Add reserved balance to transferrable balance
diff --git a/packages/builder/src/balance/BalanceBuilder.test.ts b/packages/builder/src/balance/BalanceBuilder.test.ts
index 55557134..6f53fa01 100644
--- a/packages/builder/src/balance/BalanceBuilder.test.ts
+++ b/packages/builder/src/balance/BalanceBuilder.test.ts
@@ -54,7 +54,23 @@ describe('balanceBuilder', () => {
       it('should transform correctly with frozen balance', async () => {
         await expect(
           config.transform({
-            data: { free: balanceOf(999), frozen: balanceOf(99) },
+            data: {
+              free: balanceOf(999),
+              frozen: balanceOf(99),
+              reserved: balanceOf(0),
+            },
+          }),
+        ).resolves.toMatchSnapshot();
+      });
+
+      it('should transform correctly with reserved balance', async () => {
+        await expect(
+          config.transform({
+            data: {
+              free: balanceOf(999),
+              frozen: balanceOf(99),
+              reserved: balanceOf(99),
+            },
           }),
         ).resolves.toMatchSnapshot();
       });
@@ -62,7 +78,11 @@ describe('balanceBuilder', () => {
       it('should transform correctly with miscFrozen balance', async () => {
         await expect(
           config.transform({
-            data: { free: balanceOf(999), miscFrozen: balanceOf(99) },
+            data: {
+              free: balanceOf(999),
+              miscFrozen: balanceOf(99),
+              reserved: balanceOf(0),
+            },
           }),
         ).resolves.toMatchSnapshot();
       });
@@ -164,7 +184,11 @@ describe('balanceBuilder', () => {
 
       it('should transform correctly', async () => {
         await expect(
-          config.transform({ free: balanceOf(999), frozen: balanceOf(99) }),
+          config.transform({
+            free: balanceOf(999),
+            frozen: balanceOf(99),
+            reserved: balanceOf(0),
+          }),
         ).resolves.toMatchSnapshot();
       });
     });
diff --git a/packages/builder/src/balance/BalanceBuilder.ts b/packages/builder/src/balance/BalanceBuilder.ts
index 6fd70681..165261e7 100644
--- a/packages/builder/src/balance/BalanceBuilder.ts
+++ b/packages/builder/src/balance/BalanceBuilder.ts
@@ -82,13 +82,7 @@ function system() {
           args: [address],
           transform: async (
             response: FrameSystemAccountInfo,
-          ): Promise<bigint> => {
-            const balance = response.data as PalletBalancesAccountData &
-              PalletBalancesAccountDataOld;
-            const frozen = balance.miscFrozen ?? balance.frozen;
-
-            return BigInt(balance.free.sub(frozen).toString());
-          },
+          ): Promise<bigint> => calculateSystemAccountBalance(response),
         }),
     }),
     accountEquilibrium: (): BalanceConfigBuilder => ({
@@ -139,13 +133,7 @@ function system() {
           args: [substrateAddress],
           transform: async (
             response: FrameSystemAccountInfo,
-          ): Promise<bigint> => {
-            const balance = response.data as PalletBalancesAccountData &
-              PalletBalancesAccountDataOld;
-            const frozen = balance.miscFrozen ?? balance.frozen;
-
-            return BigInt(balance.free.sub(frozen).toString());
-          },
+          ): Promise<bigint> => calculateSystemAccountBalance(response),
         });
       },
     }),
@@ -169,3 +157,14 @@ function tokens() {
     }),
   };
 }
+
+export async function calculateSystemAccountBalance(
+  response: FrameSystemAccountInfo,
+): Promise<bigint> {
+  const balance = response.data as PalletBalancesAccountData &
+    PalletBalancesAccountDataOld;
+
+  const frozen = balance.miscFrozen ?? balance.frozen;
+
+  return BigInt(balance.free.sub(frozen).add(balance.reserved).toString());
+}
diff --git a/packages/builder/src/balance/__snapshots__/BalanceBuilder.test.ts.snap b/packages/builder/src/balance/__snapshots__/BalanceBuilder.test.ts.snap
index 27ca6e00..2369c5e0 100644
--- a/packages/builder/src/balance/__snapshots__/BalanceBuilder.test.ts.snap
+++ b/packages/builder/src/balance/__snapshots__/BalanceBuilder.test.ts.snap
@@ -31,6 +31,8 @@ exports[`balanceBuilder > system > account > should transform correctly with fro
 
 exports[`balanceBuilder > system > account > should transform correctly with miscFrozen balance 1`] = `900n`;
 
+exports[`balanceBuilder > system > account > should transform correctly with reserved balance 1`] = `999n`;
+
 exports[`balanceBuilder > system > accountEquilibrium > should be correct config 1`] = `
 SubstrateQueryConfig {
   "args": [