diff --git a/modules/TDEMacros.cmake b/modules/TDEMacros.cmake
index 958f453..913c854 100644
--- a/modules/TDEMacros.cmake
+++ b/modules/TDEMacros.cmake
@@ -1904,6 +1904,9 @@ macro( tde_create_translated_desktop )
     endif( )
   endforeach( )
 
+  # prepare the length of the binary path prefix
+  string( LENGTH "${CMAKE_BINARY_DIR}" CMAKE_BINARY_DIR_LEN )
+
   # process source files
   foreach( _src IN LISTS _srcs )
 
@@ -1911,10 +1914,21 @@ macro( tde_create_translated_desktop )
     get_filename_component( _basename ${_src} ABSOLUTE )
     get_filename_component( _basedir ${_basename} PATH )
     file( RELATIVE_PATH _sourcename "${CMAKE_SOURCE_DIR}" "${_basename}" )
-    file( RELATIVE_PATH _basename "${CMAKE_CURRENT_SOURCE_DIR}" "${_basename}" )
+    string( SUBSTRING "${_basename}" 0 ${CMAKE_BINARY_DIR_LEN} _basedir_prefix )
+    if( ${_basedir_prefix} STREQUAL "${CMAKE_BINARY_DIR}" )
+      file( RELATIVE_PATH _basename "${CMAKE_CURRENT_BINARY_DIR}" "${_basename}" )
+      set( _binsuffix ".out" )
+    else( )
+      file( RELATIVE_PATH _basename "${CMAKE_CURRENT_SOURCE_DIR}" "${_basename}" )
+      set( _binsuffix "" )
+    endif( )
 
     # prepare the binary directory according to source directory
-    file( RELATIVE_PATH _binary_basedir "${CMAKE_CURRENT_SOURCE_DIR}" "${_basedir}" )
+    if( ${_basedir_prefix} STREQUAL "${CMAKE_BINARY_DIR}" )
+      file( RELATIVE_PATH _binary_basedir "${CMAKE_CURRENT_BINARY_DIR}" "${_basedir}" )
+    else( )
+      file( RELATIVE_PATH _binary_basedir "${CMAKE_CURRENT_SOURCE_DIR}" "${_basedir}" )
+    endif( )
     set( _binary_basedir "${CMAKE_CURRENT_BINARY_DIR}/${_binary_basedir}" )
     file( MAKE_DIRECTORY "${_binary_basedir}" )
 
@@ -1957,6 +1971,7 @@ macro( tde_create_translated_desktop )
     # if the translated desktop file is not installed, generate to the specified output name
     if( "${_dest}" STREQUAL "-" )
       set( _basename "${_out_name}" )
+      set( _binsuffix "" )
       get_filename_component( _out_dir "${CMAKE_CURRENT_BINARY_DIR}/${_out_name}" PATH )
       file( MAKE_DIRECTORY "${_out_dir}" )
     endif( )
@@ -1994,8 +2009,8 @@ macro( tde_create_translated_desktop )
           # merge translations command
           get_filename_component( _src ${_src} ABSOLUTE )
           add_custom_command(
-            OUTPUT ${_basename}
-            COMMAND ${CMAKE_COMMAND} -E env "LINGUAS=${_linguas}" ${MSGFMT_EXECUTABLE} --desktop --template ${_src} -d ${_po_dir} -o ${_basename} ${_keywords_arg}
+            OUTPUT ${_basename}${_binsuffix}
+            COMMAND ${CMAKE_COMMAND} -E env "LINGUAS=${_linguas}" ${MSGFMT_EXECUTABLE} --desktop --template ${_src} -d ${_po_dir} -o ${_basename}${_binsuffix} ${_keywords_arg}
             DEPENDS ${_src}
             COMMENT "Merging translations into ${_sourcename}"
           )
@@ -2010,8 +2025,8 @@ macro( tde_create_translated_desktop )
 
           # merge translations command
           add_custom_command(
-            OUTPUT ${_basename}
-            COMMAND ${PERL_EXECUTABLE} ${INTLTOOL_MERGE_EXECUTABLE} -q -d ${_po_dir} ${_basename}.in ${_basename}
+            OUTPUT ${_basename}${_binsuffix}
+            COMMAND ${PERL_EXECUTABLE} ${INTLTOOL_MERGE_EXECUTABLE} -q -d ${_po_dir} ${_basename}.in ${_basename}${_binsuffix}
             DEPENDS ${_src}
             COMMENT "Merging translations into ${_sourcename}"
           )
@@ -2019,7 +2034,7 @@ macro( tde_create_translated_desktop )
         endif( )
 
         # merge translations target
-        add_custom_target( "${_target}" ALL DEPENDS ${CMAKE_CURRENT_BINARY_DIR}/${_basename} )
+        add_custom_target( "${_target}" ALL DEPENDS ${CMAKE_CURRENT_BINARY_DIR}/${_basename}${_binsuffix} )
 
       endif()
 
@@ -2027,14 +2042,14 @@ macro( tde_create_translated_desktop )
 
       # just write the original file without translations
       file( READ ${_src} _src_data )
-      file( WRITE ${CMAKE_CURRENT_BINARY_DIR}/${_basename} "${_src_data}" )
+      file( WRITE ${CMAKE_CURRENT_BINARY_DIR}/${_basename}${_binsuffix} "${_src_data}" )
 
     endif( )
 
     # install traslated desktop file
     if( NOT "${_dest}" STREQUAL "-" )
       install(
-        FILES ${CMAKE_CURRENT_BINARY_DIR}/${_basename}
+        FILES ${CMAKE_CURRENT_BINARY_DIR}/${_basename}${_binsuffix}
         RENAME ${_out_name}
         DESTINATION ${_dest}
       )