diff --git a/backend/src/services/secret-sync/secret-sync-fns.ts b/backend/src/services/secret-sync/secret-sync-fns.ts
index 8e99aabb8..ba3a79c50 100644
--- a/backend/src/services/secret-sync/secret-sync-fns.ts
+++ b/backend/src/services/secret-sync/secret-sync-fns.ts
@@ -86,10 +86,17 @@ const addSchema = (unprocessedSecretMap: TSecretMap, environment: string, schema
 };
 
 // Strip schema from secret keys
-const stripSchema = (unprocessedSecretMap: TSecretMap, schema?: string): TSecretMap => {
+const stripSchema = (unprocessedSecretMap: TSecretMap, environment: string, schema?: string): TSecretMap => {
   if (!schema) return unprocessedSecretMap;
 
-  const [prefix, suffix] = schema.split("{{secretKey}}");
+  const compiledSchemaPattern = handlebars.compile(schema)({
+    secretKey: "{{secretKey}}", // Keep secretKey
+    environment
+  });
+
+  const parts = compiledSchemaPattern.split("{{secretKey}}");
+  const prefix = parts[0];
+  const suffix = parts[parts.length - 1];
 
   const strippedMap: TSecretMap = {};
 
@@ -278,10 +285,9 @@ export const SecretSyncFns = {
         );
     }
 
-    return stripSchema(
-      filterForSchema(secretMap, secretSync.environment?.slug || "", secretSync.syncOptions.keySchema),
-      secretSync.syncOptions.keySchema
-    );
+    const filtered = filterForSchema(secretMap, secretSync.environment?.slug || "", secretSync.syncOptions.keySchema);
+    const stripped = stripSchema(filtered, secretSync.environment?.slug || "", secretSync.syncOptions.keySchema);
+    return stripped;
   },
   removeSecrets: (
     secretSync: TSecretSyncWithCredentials,
diff --git a/docs/integrations/secret-syncs/overview.mdx b/docs/integrations/secret-syncs/overview.mdx
index 65ec4e6cf..937c8d826 100644
--- a/docs/integrations/secret-syncs/overview.mdx
+++ b/docs/integrations/secret-syncs/overview.mdx
@@ -101,6 +101,10 @@ Key Schemas transform your secret keys by applying a prefix, suffix, or format p
 
 Any destination secrets which do not match the schema will not get deleted or updated by Infisical.
 
+Key Schemas use handlebars syntax to define dynamic values. Here's a full list of available variables:
+- `{{secretKey}}` - The key of the secret
+- `{{environment}}` - The environment which the secret is in (e.g. dev, staging, prod)
+
 **Example:**
 - Infisical key: `SECRET_1`
 - Schema: `INFISICAL_{{secretKey}}`
diff --git a/frontend/src/components/secret-syncs/forms/SecretSyncOptionsFields/SecretSyncOptionsFields.tsx b/frontend/src/components/secret-syncs/forms/SecretSyncOptionsFields/SecretSyncOptionsFields.tsx
index 6050cab21..7536d1192 100644
--- a/frontend/src/components/secret-syncs/forms/SecretSyncOptionsFields/SecretSyncOptionsFields.tsx
+++ b/frontend/src/components/secret-syncs/forms/SecretSyncOptionsFields/SecretSyncOptionsFields.tsx
@@ -131,7 +131,27 @@ export const SecretSyncOptionsFields = ({ hideInitialSync }: Props) => {
         render={({ field: { value, onChange }, fieldState: { error } }) => (
           <FormControl
             tooltipClassName="max-w-md"
-            tooltipText="When a secret is synced, its key will be injected into the key schema before it reaches the destination. This is useful for organization."
+            tooltipText={
+              <div className="flex flex-col gap-3">
+                <span>
+                  When a secret is synced, values will be injected into the key schema before it
+                  reaches the destination. This is useful for organization.
+                </span>
+
+                <div className="flex flex-col">
+                  <span>Available keys:</span>
+                  <ul className="list-disc pl-4 text-sm">
+                    <li>
+                      <code>{`{{secretKey}}`}</code> - The key of the secret
+                    </li>
+                    <li>
+                      <code>{`{{environment}}`}</code> - The environment which the secret is in
+                      (e.g. dev, staging, prod)
+                    </li>
+                  </ul>
+                </div>
+              </div>
+            }
             isError={Boolean(error)}
             isOptional
             errorText={error?.message}