diff --git a/builtin/providers/archive/resource_archive_file.go b/builtin/providers/archive/resource_archive_file.go
index 57534eed11ac..b2bd551cca05 100644
--- a/builtin/providers/archive/resource_archive_file.go
+++ b/builtin/providers/archive/resource_archive_file.go
@@ -4,9 +4,11 @@ import (
 	"crypto/sha1"
 	"encoding/hex"
 	"fmt"
-	"github.com/hashicorp/terraform/helper/schema"
 	"io/ioutil"
 	"os"
+	"path"
+
+	"github.com/hashicorp/terraform/helper/schema"
 )
 
 func resourceArchiveFile() *schema.Resource {
@@ -74,15 +76,15 @@ func resourceArchiveFileCreate(d *schema.ResourceData, meta interface{}) error {
 }
 
 func resourceArchiveFileRead(d *schema.ResourceData, meta interface{}) error {
-	output_path := d.Get("output_path").(string)
-	fi, err := os.Stat(output_path)
+	outputPath := d.Get("output_path").(string)
+	fi, err := os.Stat(outputPath)
 	if os.IsNotExist(err) {
 		d.SetId("")
 		d.MarkNewResource()
 		return nil
 	}
 
-	sha, err := genFileSha1(fi.Name())
+	sha, err := genFileSha1(outputPath)
 	if err != nil {
 		return fmt.Errorf("could not generate file checksum sha: %s", err)
 	}
@@ -97,6 +99,15 @@ func resourceArchiveFileUpdate(d *schema.ResourceData, meta interface{}) error {
 	archiveType := d.Get("type").(string)
 	outputPath := d.Get("output_path").(string)
 
+	outputDirectory := path.Dir(outputPath)
+	if outputDirectory != "" {
+		if _, err := os.Stat(outputDirectory); err != nil {
+			if err := os.MkdirAll(outputDirectory, 755); err != nil {
+				return err
+			}
+		}
+	}
+
 	archiver := getArchiver(archiveType, outputPath)
 	if archiver == nil {
 		return fmt.Errorf("archive type not supported: %s", archiveType)
@@ -120,13 +131,12 @@ func resourceArchiveFileUpdate(d *schema.ResourceData, meta interface{}) error {
 	}
 
 	// Generate archived file stats
-	output_path := d.Get("output_path").(string)
-	fi, err := os.Stat(output_path)
+	fi, err := os.Stat(outputPath)
 	if err != nil {
 		return err
 	}
 
-	sha, err := genFileSha1(fi.Name())
+	sha, err := genFileSha1(outputPath)
 	if err != nil {
 		return fmt.Errorf("could not generate file checksum sha: %s", err)
 	}
@@ -138,22 +148,21 @@ func resourceArchiveFileUpdate(d *schema.ResourceData, meta interface{}) error {
 }
 
 func resourceArchiveFileDelete(d *schema.ResourceData, meta interface{}) error {
-	output_path := d.Get("output_path").(string)
-	fi, err := os.Stat(output_path)
-	if os.IsNotExist(err) {
+	outputPath := d.Get("output_path").(string)
+	if _, err := os.Stat(outputPath); os.IsNotExist(err) {
 		return nil
 	}
 
-	if err := os.Remove(fi.Name()); err != nil {
-		return fmt.Errorf("could not delete zip file '%s': %s", fi.Name(), err)
+	if err := os.Remove(outputPath); err != nil {
+		return fmt.Errorf("could not delete zip file %q: %s", outputPath, err)
 	}
 
 	return nil
 }
 
 func resourceArchiveFileExists(d *schema.ResourceData, meta interface{}) (bool, error) {
-	output_path := d.Get("output_path").(string)
-	_, err := os.Stat(output_path)
+	outputPath := d.Get("output_path").(string)
+	_, err := os.Stat(outputPath)
 	if os.IsNotExist(err) {
 		return false, nil
 	}
diff --git a/builtin/providers/archive/resource_archive_file_test.go b/builtin/providers/archive/resource_archive_file_test.go
index eb6c47a9a4b6..d19f8201c57f 100644
--- a/builtin/providers/archive/resource_archive_file_test.go
+++ b/builtin/providers/archive/resource_archive_file_test.go
@@ -2,10 +2,11 @@ package archive
 
 import (
 	"fmt"
-	r "github.com/hashicorp/terraform/helper/resource"
-	"github.com/hashicorp/terraform/terraform"
 	"os"
 	"testing"
+
+	r "github.com/hashicorp/terraform/helper/resource"
+	"github.com/hashicorp/terraform/terraform"
 )
 
 func TestAccArchiveFile_Basic(t *testing.T) {
@@ -37,6 +38,12 @@ func TestAccArchiveFile_Basic(t *testing.T) {
 					r.TestCheckResourceAttrPtr("archive_file.foo", "output_size", &fileSize),
 				),
 			},
+			r.TestStep{
+				Config: testAccArchiveFileOutputPath,
+				Check: r.ComposeTestCheckFunc(
+					testAccArchiveFileExists("example/path/test.zip", &fileSize),
+				),
+			},
 		},
 	})
 }
@@ -75,6 +82,15 @@ resource "archive_file" "foo" {
 }
 `
 
+var testAccArchiveFileOutputPath = `
+resource "archive_file" "foo" {
+  type                    = "zip"
+  source_content          = "This is some content"
+  source_content_filename = "content.txt"
+  output_path             = "example/path/test.zip"
+}
+`
+
 var testAccArchiveFileFileConfig = `
 resource "archive_file" "foo" {
   type        = "zip"