diff --git a/modules/ve-mw/ui/dialogs/ve.ui.MWTemplateDialog.js b/modules/ve-mw/ui/dialogs/ve.ui.MWTemplateDialog.js
index 8584b7e25c..bb5ca1d309 100644
--- a/modules/ve-mw/ui/dialogs/ve.ui.MWTemplateDialog.js
+++ b/modules/ve-mw/ui/dialogs/ve.ui.MWTemplateDialog.js
@@ -21,6 +21,7 @@
  *
  * @constructor
  * @param {Object} [config] Configuration options
+ * @property {ve.dm.MWTransclusionModel|null} transclusionModel
  */
 ve.ui.MWTemplateDialog = function VeUiMWTemplateDialog( config ) {
 	// Parent constructor
@@ -570,6 +571,10 @@ ve.ui.MWTemplateDialog.prototype.getSetupProcess = function ( data ) {
 						dialog.bookletLayout.outlineSelectWidget.$element
 					);
 					dialog.bookletLayout.outlineSelectWidget.toggle( false );
+
+					if ( !dialog.transclusionModel.isSingleTemplate() ) {
+						dialog.pocSidebar.hideAllUnusedParameters();
+					}
 				}
 
 				dialog.bookletLayout.autoFocus = true;
diff --git a/modules/ve-mw/ui/widgets/ve.ui.MWTransclusionOutlineTemplateWidget.js b/modules/ve-mw/ui/widgets/ve.ui.MWTransclusionOutlineTemplateWidget.js
index 3e7627478a..f16fd8fee2 100644
--- a/modules/ve-mw/ui/widgets/ve.ui.MWTransclusionOutlineTemplateWidget.js
+++ b/modules/ve-mw/ui/widgets/ve.ui.MWTransclusionOutlineTemplateWidget.js
@@ -30,7 +30,7 @@ ve.ui.MWTransclusionOutlineTemplateWidget = function VeUiMWTransclusionOutlineTe
 	} );
 
 	this.initializeParameterList();
-	this.toggleFilters();
+	this.toggleFilters( !this.transclusionModel.isSingleTemplate() );
 };
 
 /* Inheritance */
@@ -177,7 +177,10 @@ ve.ui.MWTransclusionOutlineTemplateWidget.prototype.onParameterAddedToTemplateMo
 
 	// All parameters known via the spec already have a checkbox
 	var item = this.parameterList.findItemFromData( paramName );
-	if ( !item ) {
+	if ( item ) {
+		// Reset the "hide unused" filter for this field, it's going to be used
+		item.toggle( true );
+	} else {
 		item = this.createCheckbox( paramName );
 		this.parameterList.addItems( [ item ], this.findCanonicalPosition( paramName ) );
 
@@ -247,8 +250,9 @@ ve.ui.MWTransclusionOutlineTemplateWidget.prototype.onParameterWidgetListChanged
 
 /**
  * @private
+ * @param {boolean} [initiallyHideUnused=false]
  */
-ve.ui.MWTransclusionOutlineTemplateWidget.prototype.toggleFilters = function () {
+ve.ui.MWTransclusionOutlineTemplateWidget.prototype.toggleFilters = function ( initiallyHideUnused ) {
 	var numParams = this.parameterList && this.parameterList.getItemCount(),
 		visible = numParams >= this.constructor.static.searchableParameterCount;
 	if ( this.searchWidget ) {
@@ -256,6 +260,9 @@ ve.ui.MWTransclusionOutlineTemplateWidget.prototype.toggleFilters = function ()
 		this.toggleUnusedWidget.toggle( visible );
 	} else if ( visible ) {
 		this.initializeFilters();
+		if ( initiallyHideUnused === true ) {
+			this.toggleUnusedWidget.toggleUnusedParameters( false );
+		}
 	}
 };
 
@@ -338,10 +345,9 @@ ve.ui.MWTransclusionOutlineTemplateWidget.prototype.filterParameters = function
 		}
 	} );
 
+	this.toggleUnusedWidget.toggle( !query );
 	this.infoWidget.toggle( nothingFound );
 	self.emit( 'filterParametersById', visibility );
-
-	this.toggleUnusedWidget.toggle( !query );
 };
 
 /**
diff --git a/modules/ve-mw/ui/widgets/ve.ui.MWTransclusionOutlineToggleUnusedWidget.js b/modules/ve-mw/ui/widgets/ve.ui.MWTransclusionOutlineToggleUnusedWidget.js
index 49af6e75b7..89defee9fd 100644
--- a/modules/ve-mw/ui/widgets/ve.ui.MWTransclusionOutlineToggleUnusedWidget.js
+++ b/modules/ve-mw/ui/widgets/ve.ui.MWTransclusionOutlineToggleUnusedWidget.js
@@ -38,18 +38,33 @@ OO.inheritClass( ve.ui.MWTransclusionOutlineToggleUnusedWidget, OO.ui.ButtonWidg
 /**
  * Handles clicks on the button by mouse or keyboard interaction.
  *
+ * @private
  * @fires toggleUnusedFields
  */
 ve.ui.MWTransclusionOutlineToggleUnusedWidget.prototype.onClick = function () {
-	this.showUnusedFields = !this.showUnusedFields;
-	this.setLabel( ve.msg( this.showUnusedFields ? 'visualeditor-dialog-transclusion-filter-hide-unused' :
-		'visualeditor-dialog-transclusion-filter-show-all' ) );
-	this.emit( 'toggleUnusedFields', this.showUnusedFields );
+	this.toggleUnusedParameters();
+};
+
+/**
+ * @param {boolean} [showUnused]
+ * @fires toggleUnusedFields
+ */
+ve.ui.MWTransclusionOutlineToggleUnusedWidget.prototype.toggleUnusedParameters = function ( showUnused ) {
+	showUnused = showUnused === undefined ? !this.showUnusedFields : showUnused;
+	if ( showUnused !== this.showUnusedFields ) {
+		this.showUnusedFields = showUnused;
+		this.setLabel( ve.msg( this.showUnusedFields ?
+			'visualeditor-dialog-transclusion-filter-hide-unused' :
+			'visualeditor-dialog-transclusion-filter-show-all'
+		) );
+		this.emit( 'toggleUnusedFields', this.showUnusedFields );
+	}
 };
 
 /**
  * Handles toggling the visibility of the button.
  *
+ * @private
  * @param {boolean} visible
  * @fires toggleUnusedFields
  */
diff --git a/modules/ve-mw/ui/widgets/ve.ui.MWTransclusionOutlineWidget.js b/modules/ve-mw/ui/widgets/ve.ui.MWTransclusionOutlineWidget.js
index 69cd2db79f..3c8ab9a76f 100644
--- a/modules/ve-mw/ui/widgets/ve.ui.MWTransclusionOutlineWidget.js
+++ b/modules/ve-mw/ui/widgets/ve.ui.MWTransclusionOutlineWidget.js
@@ -127,6 +127,17 @@ ve.ui.MWTransclusionOutlineWidget.prototype.addPartWidget = function ( part, new
 	}
 };
 
+ve.ui.MWTransclusionOutlineWidget.prototype.hideAllUnusedParameters = function () {
+	for ( var id in this.partWidgets ) {
+		var partWidget = this.partWidgets[ id ];
+		if ( partWidget instanceof ve.ui.MWTransclusionOutlineTemplateWidget &&
+			partWidget.toggleUnusedWidget
+		) {
+			partWidget.toggleUnusedWidget.toggleUnusedParameters( false );
+		}
+	}
+};
+
 /**
  * This is inspired by {@see OO.ui.SelectWidget.selectItem}, but isn't one.
  *