diff --git a/src/filepath.c b/src/filepath.c
index 8bc941d..4a4948a 100644
--- a/src/filepath.c
+++ b/src/filepath.c
@@ -416,7 +416,7 @@
 	// Need full path first (use expand_env() to remove a "~/")
 	if (!has_fullname && !has_homerelative)
 	{
-	    if (c == '.' && **fnamep == '~')
+	    if ((c == '.' || c == '~') && **fnamep == '~')
 		p = pbuf = expand_env_save(*fnamep);
 	    else
 		p = pbuf = FullName_save(*fnamep, FALSE);
@@ -2397,11 +2397,9 @@
 		if (--dstlen > 0)
 		    *dst++ = '~';
 
-		/*
-		 * If it's just the home directory, add  "/".
-		 */
-		if (!vim_ispathsep(src[0]) && --dstlen > 0)
-		    *dst++ = '/';
+		// Do not add directory separator into dst, because dst is
+		// expected to just return the directory name without the
+		// directory separator '/'.
 		break;
 	    }
 	    if (p == homedir_env)
diff --git a/src/testdir/test_fnamemodify.vim b/src/testdir/test_fnamemodify.vim
index b90d232..f8ce0b1 100644
--- a/src/testdir/test_fnamemodify.vim
+++ b/src/testdir/test_fnamemodify.vim
@@ -31,6 +31,9 @@
   call assert_equal('tar', fnamemodify('abc.fb2.tar.gz', ':e:e:r'))
 
   let cwd = getcwd()
+  call chdir($HOME)
+  call assert_equal('foobar', fnamemodify('~/foobar', ':~:.'))
+  call chdir(cwd)
   call mkdir($HOME . '/XXXXXXXX/a', 'p')
   call mkdir($HOME . '/XXXXXXXX/b', 'p')
   call chdir($HOME . '/XXXXXXXX/a/')
diff --git a/src/version.c b/src/version.c
index 4c8822a..570ea10 100644
--- a/src/version.c
+++ b/src/version.c
@@ -755,6 +755,8 @@
 static int included_patches[] =
 {   /* Add new patch number below this line */
 /**/
+    942,
+/**/
     941,
 /**/
     940,