diff --git a/Core/Database.lua b/Core/Database.lua
index b5de537..526feb6 100644
--- a/Core/Database.lua
+++ b/Core/Database.lua
@@ -46,7 +46,8 @@ function DB:Initialize()
 				iconFontSize = 12,
 				showQualityBorderEquipment = true,
 				showQualityBorderOther = true,
-				showSearchBar = true,
+				showSearchBar = true,   -- legacy boolean; preserved for migration. New code reads searchBarMode.
+				searchBarMode = "shown", -- "shown" | "hidden" | "toggle"
 				hideBagline = true,
 				hideFooter = false,
 				bgTransparency = 0.15,
@@ -120,6 +121,11 @@ function DB:Initialize()
 	if Guda_CharDB.settings.showSearchBar == nil then
 		Guda_CharDB.settings.showSearchBar = true
 	end
+	-- Migrate legacy boolean to three-state searchBarMode.
+	if Guda_CharDB.settings.searchBarMode == nil then
+		Guda_CharDB.settings.searchBarMode =
+			(Guda_CharDB.settings.showSearchBar == false) and "hidden" or "shown"
+	end
 	if Guda_CharDB.settings.questBarPinnedItems == nil then
 		Guda_CharDB.settings.questBarPinnedItems = {}
 	end
diff --git a/Core/Utils.lua b/Core/Utils.lua
index 32fdddf..0d304fd 100644
--- a/Core/Utils.lua
+++ b/Core/Utils.lua
@@ -48,6 +48,7 @@ local tooltipCache = {
     bindOnEquip = {},     -- IsBindOnEquip results
     uniqueItem = {},      -- IsUniqueItem results
     restoreTag = {},      -- GetConsumableRestoreTag results
+    fullText = {},        -- GetTooltipText results (full tooltip lowercased, for ~t: search)
 }
 local tooltipCacheStats = {
     hits = 0,
@@ -61,6 +62,7 @@ function Utils:ClearTooltipCache()
     tooltipCache.bindOnEquip = {}
     tooltipCache.uniqueItem = {}
     tooltipCache.restoreTag = {}
+    tooltipCache.fullText = {}
     tooltipCacheStats.hits = 0
     tooltipCacheStats.misses = 0
     addon:Debug("Tooltip cache cleared")
@@ -1240,6 +1242,63 @@ function Utils:GetConsumableRestoreTag(bagID, slotID, itemLink)
     return tag
 end
 
+-- Return the full tooltip text of an item as a single lowercase string, with
+-- newlines between lines. Used by the ~t: keyword search filter — one scan
+-- per item per session, cached by item ID so repeated searches are free.
+-- Accepts (bagID, slotID) for live items or (nil, nil, itemLink) as a
+-- link-only fallback (e.g. auction/mail items).
+function Utils:GetTooltipText(bagID, slotID, itemLink)
+    local cacheLink = itemLink or (bagID and slotID and GetContainerItemLink(bagID, slotID))
+    local cacheKey = GetTooltipCacheKey(cacheLink)
+    if cacheKey and tooltipCache.fullText[cacheKey] ~= nil then
+        tooltipCacheStats.hits = tooltipCacheStats.hits + 1
+        local cached = tooltipCache.fullText[cacheKey]
+        return (cached ~= false) and cached or nil
+    end
+    tooltipCacheStats.misses = tooltipCacheStats.misses + 1
+
+    local tooltip = GetScanTooltip()
+    tooltip:ClearLines()
+    local ok = false
+    if bagID and slotID then
+        pcall(function() tooltip:SetBagItem(bagID, slotID); ok = true end)
+    end
+    if not ok and cacheLink then
+        local _, _, itemString = string.find(cacheLink, "|H(item:[^|]+)|h")
+        if itemString then
+            pcall(function() tooltip:SetHyperlink(itemString); ok = true end)
+        end
+    end
+    if not ok then
+        if cacheKey then tooltipCache.fullText[cacheKey] = false end
+        return nil
+    end
+
+    local parts = {}
+    local n = tooltip:NumLines() or 0
+    for i = 1, n do
+        local left = getglobal("GudaScanTooltipTextLeft" .. i)
+        local right = getglobal("GudaScanTooltipTextRight" .. i)
+        local lt = left and left:GetText() or nil
+        local rt = right and right:GetText() or nil
+        if lt and lt ~= "" then table.insert(parts, lt) end
+        if rt and rt ~= "" then table.insert(parts, rt) end
+    end
+
+    -- Don't cache partial data: vanilla sometimes returns a 1-line tooltip
+    -- before the client finishes loading the item record. 2+ lines means
+    -- at least name + one stat/description line was present.
+    if n < 2 then
+        return nil
+    end
+
+    local joined = string.lower(table.concat(parts, "\n"))
+    if cacheKey then
+        tooltipCache.fullText[cacheKey] = joined
+    end
+    return joined
+end
+
 -- Check if item is Arrow or Bullet (for Quiver routing).
 -- Locale-independent: also matches against the local client's translated
 -- subtype strings, resolved from reference vanilla items at runtime.
diff --git a/Guda.toc b/Guda.toc
index 18d4b7f..f270475 100644
--- a/Guda.toc
+++ b/Guda.toc
@@ -2,7 +2,7 @@
 ## Title: Guda
 ## Notes: All-in-one bag and bank addon for World of Warcraft 1.12.1 (Turtle WoW)
 ## Author: Vati
-## Version: 2.2.9
+## Version: 2.3.0
 ## SavedVariables: Guda_DB
 ## SavedVariablesPerCharacter: Guda_CharDB
 ## OptionalDeps: pfUI
diff --git a/UI/BagFrame.lua b/UI/BagFrame.lua
index 3b74922..fb108ec 100644
--- a/UI/BagFrame.lua
+++ b/UI/BagFrame.lua
@@ -237,7 +237,9 @@ function Guda_BagFrame_OnShow(self)
 		BagFrame:UpdateBorderVisibility()
 	end
 
-	-- Apply search bar visibility setting
+	-- Apply search bar visibility setting. Always start collapsed in toggle
+	-- mode so opening the bag doesn't leave stale filter state visible.
+	BagFrame.searchBarExpanded = false
 	if BagFrame.UpdateSearchBarVisibility then
 		BagFrame:UpdateSearchBarVisibility()
 	end
@@ -3057,6 +3059,32 @@ function Guda_BagFrame_ClearSearch()
 	BagFrame:Update()
 end
 
+-- Queue a one-shot warmup of Utils:GetTooltipText for every occupied bag
+-- slot currently visible. Runs once per session the first time the user
+-- types a ~t: query — subsequent keystrokes hit warm cache and filter
+-- instantly. Frame-budgeted via Utils:QueueWork so typing stays responsive.
+local tooltipTextWarmed = false
+local function WarmTooltipTextCache()
+	if tooltipTextWarmed then return end
+	tooltipTextWarmed = true
+	local Utils = addon.Modules.Utils
+	if not Utils or not Utils.QueueWork or not Utils.GetTooltipText then return end
+	for bagID = 0, 4 do
+		local numSlots = GetContainerNumSlots(bagID)
+		if numSlots and numSlots > 0 then
+			for slotID = 1, numSlots do
+				local link = GetContainerItemLink(bagID, slotID)
+				if link then
+					local b, s, l = bagID, slotID, link
+					Utils:QueueWork(function()
+						Utils:GetTooltipText(b, s, l)
+					end, "tooltipTextSearchWarmup")
+				end
+			end
+		end
+	end
+end
+
 -- Search changed handler
 function Guda_BagFrame_OnSearchChanged(self)
 	local text = self:GetText()
@@ -3069,6 +3097,12 @@ function Guda_BagFrame_OnSearchChanged(self)
 		BagFrame.foundFirstMatch = false  -- Reset debug flags
 		BagFrame.warnedAboutParsing = false
 		BagFrame.warnedAboutNoName = false
+		-- Kick off a one-time tooltip-text warmup if the query uses ~t:.
+		-- string.find returns nil when pattern is absent; plain=true to match
+		-- "~t:" literally (no magic chars in the pattern).
+		if string.find(text, "~t:", 1, true) then
+			WarmTooltipTextCache()
+		end
 		BagFrame:Update()
 	end
 end
@@ -3677,29 +3711,75 @@ function BagFrame:UpdateBorderVisibility()
 end
 
 -- Update search bar visibility based on setting
+-- Reads the three-state searchBarMode setting.
+-- Returns one of "shown", "hidden", "toggle". Falls back to the legacy
+-- boolean showSearchBar if the new setting isn't set yet.
+local function GetSearchBarMode()
+	if not addon or not addon.Modules or not addon.Modules.DB then return "shown" end
+	local mode = addon.Modules.DB:GetSetting("searchBarMode")
+	if mode == "shown" or mode == "hidden" or mode == "toggle" then
+		return mode
+	end
+	local legacy = addon.Modules.DB:GetSetting("showSearchBar")
+	if legacy == false then return "hidden" end
+	return "shown"
+end
+
 function BagFrame:UpdateSearchBarVisibility()
 	if not addon or not addon.Modules or not addon.Modules.DB then return end
 
-	local searchBar = getglobal("Guda_BagFrame_SearchBar")
+	local searchBar     = getglobal("Guda_BagFrame_SearchBar")
 	local itemContainer = getglobal("Guda_BagFrame_ItemContainer")
+	local toggleBtn     = getglobal("Guda_BagFrame_SearchToggleButton")
 	if not searchBar or not itemContainer then return end
 
-	local showSearchBar = addon.Modules.DB:GetSetting("showSearchBar")
-	if showSearchBar == nil then
-		showSearchBar = true
+	local mode = GetSearchBarMode()
+	local effectiveShown
+	if mode == "shown" then
+		effectiveShown = true
+	elseif mode == "hidden" then
+		effectiveShown = false
+	else  -- "toggle"
+		effectiveShown = self.searchBarExpanded and true or false
 	end
 
-	if showSearchBar then
+	if effectiveShown then
 		searchBar:Show()
-		-- Anchor ItemContainer to SearchBar's bottom
 		itemContainer:ClearAllPoints()
 		itemContainer:SetPoint("TOP", searchBar, "BOTTOM", 0, -5)
 	else
 		searchBar:Hide()
-		-- Anchor ItemContainer directly to frame top (skip search bar space)
 		itemContainer:ClearAllPoints()
 		itemContainer:SetPoint("TOP", "Guda_BagFrame", "TOP", 0, -40)
 	end
+
+	if toggleBtn then
+		if mode == "toggle" then toggleBtn:Show() else toggleBtn:Hide() end
+	end
+end
+
+-- Toggle the search bar's expanded state (only meaningful in "toggle" mode).
+function BagFrame:ToggleSearchBar()
+	local mode = GetSearchBarMode()
+	if mode ~= "toggle" then return end  -- no-op in shown/hidden modes
+
+	self.searchBarExpanded = not (self.searchBarExpanded and true or false)
+	self:UpdateSearchBarVisibility()
+
+	local searchBox = getglobal("Guda_BagFrame_SearchBar_SearchBox")
+	if self.searchBarExpanded then
+		if searchBox then searchBox:SetFocus() end
+	else
+		if searchBox then
+			searchBox:SetText("")
+			searchBox:ClearFocus()
+			if Guda_BagFrame_OnSearchChanged then
+				Guda_BagFrame_OnSearchChanged(searchBox)
+			end
+		end
+	end
+
+	if BagFrame.Update then BagFrame:Update() end
 end
 
 -- Update footer visibility based on settings
diff --git a/UI/BagFrame.xml b/UI/BagFrame.xml
index 324a2f0..5606c0e 100644
--- a/UI/BagFrame.xml
+++ b/UI/BagFrame.xml
@@ -147,6 +147,56 @@
                 </Scripts>
             </Button>
 
+            <!-- Search Toggle Button (only visible when searchBarMode == "toggle") -->
+            <Button name="$parent_SearchToggleButton" hidden="true">
+                <Size>
+                    <AbsDimension x="24" y="22"/>
+                </Size>
+                <Anchors>
+                    <Anchor point="RIGHT" relativePoint="LEFT" relativeTo="$parent_SortButton">
+                        <Offset>
+                            <AbsDimension x="-4" y="0"/>
+                        </Offset>
+                    </Anchor>
+                </Anchors>
+                <Layers>
+                    <Layer level="ARTWORK">
+                        <Texture name="$parent_Icon">
+                            <Size>
+                                <AbsDimension x="18" y="18"/>
+                            </Size>
+                            <Anchors>
+                                <Anchor point="CENTER"/>
+                            </Anchors>
+                            <Color r="0.8" g="0.8" b="0.8"/>
+                        </Texture>
+                    </Layer>
+                </Layers>
+                <Scripts>
+                    <OnLoad>
+                        local icon = getglobal(this:GetName().."_Icon")
+                        if icon then
+                            icon:SetTexture("Interface\\AddOns\\Guda\\Assets\\search")
+                            icon:SetTexCoord(0, 1, 0, 1)
+                        end
+                    </OnLoad>
+                    <OnClick>
+                        if Guda and Guda.Modules and Guda.Modules.BagFrame
+                           and Guda.Modules.BagFrame.ToggleSearchBar then
+                            Guda.Modules.BagFrame:ToggleSearchBar()
+                        end
+                    </OnClick>
+                    <OnEnter>
+                        GameTooltip:SetOwner(this, "ANCHOR_TOP")
+                        GameTooltip:SetText(Guda_L and Guda_L["Search"] or "Search")
+                        GameTooltip:Show()
+                    </OnEnter>
+                    <OnLeave>
+                        GameTooltip:Hide()
+                    </OnLeave>
+                </Scripts>
+            </Button>
+
             <!-- Characters Button (header left) -->
             <Button name="$parent_CharsButton">
                 <Size>
@@ -703,12 +753,21 @@
                                 local clickCatcher = getglobal("Guda_ClickCatcher")
                                 if clickCatcher then clickCatcher:Hide() end
 
+                                local wasEmpty = (this:GetText() == "")
+
                                 -- Restore placeholder if empty when focus is lost
-                                if this:GetText() == "" then
+                                if wasEmpty then
                                     this:SetText("Search, try ~equipment")
                                     this:SetTextColor(0.5, 0.5, 0.5, 1)
                                     Guda_BagFrame_OnSearchChanged(this)
                                 end
+
+                                -- In "toggle" mode, empty + focus-lost collapses the bar.
+                                if wasEmpty and Guda and Guda.Modules
+                                   and Guda.Modules.BagFrame
+                                   and Guda.Modules.BagFrame.searchBarExpanded then
+                                    Guda.Modules.BagFrame:ToggleSearchBar()
+                                end
                             </OnEditFocusLost>
                             <OnTextChanged>
                                 Guda_BagFrame_OnSearchChanged(this)
@@ -728,6 +787,11 @@
                                 this:SetTextColor(0.5, 0.5, 0.5, 1)
                                 this:ClearFocus()
                                 Guda_BagFrame_OnSearchChanged(this)
+                                -- Collapse if in toggle mode; no-op otherwise.
+                                if Guda and Guda.Modules and Guda.Modules.BagFrame
+                                   and Guda.Modules.BagFrame.searchBarExpanded then
+                                    Guda.Modules.BagFrame:ToggleSearchBar()
+                                end
                             </OnEscapePressed>
                         </Scripts>
                     </EditBox>
diff --git a/UI/FrameHelpers.lua b/UI/FrameHelpers.lua
index c7a201d..4b60f54 100644
--- a/UI/FrameHelpers.lua
+++ b/UI/FrameHelpers.lua
@@ -367,58 +367,97 @@ function Guda_UpdateLockStates(parentsTable)
 end
 
 -- Shared search filter used by BagFrame and BankFrame
-function Guda_PassesSearchFilter(itemData, searchText)
-    -- If no search text, everything matches
-    if not searchText or searchText == "" then
-        return true
+-- Supports space-separated tokens, each of one of three kinds:
+--   ~t:<keyword>   — tooltip text substring (case-insensitive)
+--   ~<category>    — category shortcut (equipment, consumable, quest, ...)
+--   <plain text>   — item name substring
+-- All tokens must match (AND) for the item to pass.
+local function TokenizeSearch(text)
+    local tokens = {}
+    local s = string.lower(text)
+    local pos = 1
+    local len = string.len(s)
+    while pos <= len do
+        local startPos, endPos = string.find(s, "%S+", pos)
+        if not startPos then break end
+        table.insert(tokens, string.sub(s, startPos, endPos))
+        pos = endPos + 1
     end
+    return tokens
+end
 
-    -- Ignore common placeholders
+local function MatchesCategoryShortcut(itemData, category)
+    local itemType = itemData.class or ""
+    local itemQuality = itemData.quality or -1
+    if category == "equipment" or category == "armor" or category == "weapon" then
+        return (itemType == "Armor" or itemType == "Weapon")
+    elseif category == "consumable" then
+        return itemType == "Consumable"
+    elseif category == "tradegoods" or category == "trades" then
+        return itemType == "Trade Goods"
+    elseif category == "quest" then
+        local isQuest, isQuestStarter = Guda_GetQuestInfo(itemData.bagID, itemData.slotID, itemData.isBank)
+        return (isQuest or isQuestStarter or itemType == "Quest") and true or false
+    elseif category == "reagent" then
+        return itemType == "Reagent"
+    elseif category == "common"    then return itemQuality == 1
+    elseif category == "uncommon"  then return itemQuality == 2
+    elseif category == "rare"      then return itemQuality == 3
+    elseif category == "epic"      then return itemQuality == 4
+    elseif category == "legendary" then return itemQuality == 5
+    end
+    return nil  -- unknown shortcut — caller falls back to name-match
+end
+
+function Guda_PassesSearchFilter(itemData, searchText)
+    if not searchText or searchText == "" then return true end
     if searchText == "Search, try ~equipment" or searchText == "Search bank..." then
         return true
     end
-
-    -- Empty slots don't match when searching
-    if not itemData then
-        return false
-    end
+    if not itemData then return false end
 
     local itemName = itemData.name
     if not itemName and itemData.link then
         local _, _, name = string.find(itemData.link, "%[(.+)%]")
         itemName = name
     end
-
     if not itemName then return false end
+    local lowerName = string.lower(itemName)
 
-    local search = string.lower(searchText)
+    local Utils = Guda and Guda.Modules and Guda.Modules.Utils
 
-    if string.sub(search, 1, 1) == "~" then
-        local category = string.sub(search, 2)
-        local itemType = itemData.class or ""
-        local itemQuality = itemData.quality or -1
+    for _, tok in ipairs(TokenizeSearch(searchText)) do
+        local matched = false
 
-        if category == "equipment" or category == "armor" or category == "weapon" then
-            if itemType == "Armor" or itemType == "Weapon" then return true end
-        elseif category == "consumable" then
-            if itemType == "Consumable" then return true end
-        elseif category == "tradegoods" or category == "trades" then
-            if itemType == "Trade Goods" then return true end
-        elseif category == "quest" then
-            local isQuest, isQuestStarter = Guda_GetQuestInfo(itemData.bagID, itemData.slotID, itemData.isBank)
-            if isQuest or isQuestStarter or itemType == "Quest" then return true end
-        elseif category == "reagent" then
-            if itemType == "Reagent" then return true end
-        elseif category == "common" then if itemQuality == 1 then return true end
-        elseif category == "uncommon" then if itemQuality == 2 then return true end
-        elseif category == "rare" then if itemQuality == 3 then return true end
-        elseif category == "epic" then if itemQuality == 4 then return true end
-        elseif category == "legendary" then if itemQuality == 5 then return true end
+        if string.sub(tok, 1, 3) == "~t:" then
+            -- Tooltip-text filter.
+            local keyword = string.sub(tok, 4)
+            if keyword == "" then
+                matched = true   -- bare ~t: is a no-op, skip this token
+            elseif Utils and Utils.GetTooltipText then
+                local text = Utils:GetTooltipText(itemData.bagID, itemData.slotID, itemData.link)
+                if text and string.find(text, keyword, 1, true) then
+                    matched = true
+                end
+            end
+        elseif string.sub(tok, 1, 1) == "~" then
+            -- Category shortcut. Unknown shortcuts fall back to name-match.
+            local category = string.sub(tok, 2)
+            local shortcut = MatchesCategoryShortcut(itemData, category)
+            if shortcut == true then
+                matched = true
+            elseif shortcut == nil then
+                -- unknown shortcut — behave like a plain name substring
+                matched = string.find(lowerName, tok, 1, true) ~= nil
+            end
+        else
+            matched = string.find(lowerName, tok, 1, true) ~= nil
         end
+
+        if not matched then return false end
     end
 
-    itemName = string.lower(itemName)
-    return string.find(itemName, string.lower(searchText), 1, true) ~= nil
+    return true
 end
 
 -- Generic ResizeFrame for Bag/Bank frames
@@ -445,8 +484,22 @@ function Guda_ResizeFrame(frameName, containerName, currentRow, currentCol, colu
     local containerHeight = overrideHeight or (totalRows * (buttonSize + spacing) - spacing + 2 * math.abs(pad.startY))
     local frameWidth = containerWidth + pad.frameExtra
 
-    local showSearchBar = addon.Modules.DB:GetSetting("showSearchBar")
-    if showSearchBar == nil then showSearchBar = true end
+    -- Effective shown state for the search bar: "shown" always, "hidden" never,
+    -- "toggle" only when the bag frame has expanded the bar via its icon button.
+    local mode = addon.Modules.DB:GetSetting("searchBarMode")
+    if mode ~= "shown" and mode ~= "hidden" and mode ~= "toggle" then
+        local legacy = addon.Modules.DB:GetSetting("showSearchBar")
+        mode = (legacy == false) and "hidden" or "shown"
+    end
+    local showSearchBar
+    if mode == "shown" then
+        showSearchBar = true
+    elseif mode == "hidden" then
+        showSearchBar = false
+    else
+        local BF = addon.Modules and addon.Modules.BagFrame
+        showSearchBar = BF and BF.searchBarExpanded and true or false
+    end
 
     local titleHeight = pad.titleHeight
     local searchBarHeight = pad.searchBarHeight
diff --git a/UI/SettingsPopup.lua b/UI/SettingsPopup.lua
index a2be586..ba46e04 100644
--- a/UI/SettingsPopup.lua
+++ b/UI/SettingsPopup.lua
@@ -960,24 +960,39 @@ function Guda_SettingsPopup_ShowSearchBarCheckbox_OnLoad(self)
     -- Tooltip
     self.tooltipText = L_SHOW_SEARCH_BAR_TT
 
-    local showSearchBar = true
+    -- The parent checkbox reads "is search bar available at all?" — i.e.
+    -- modes "shown" and "toggle" both leave it checked; only "hidden"
+    -- unchecks it.
+    local mode = "shown"
     if Guda and Guda.Modules and Guda.Modules.DB then
-        showSearchBar = Guda.Modules.DB:GetSetting("showSearchBar")
-        if showSearchBar == nil then
-            showSearchBar = true
+        mode = Guda.Modules.DB:GetSetting("searchBarMode")
+        if mode ~= "shown" and mode ~= "hidden" and mode ~= "toggle" then
+            local legacy = Guda.Modules.DB:GetSetting("showSearchBar")
+            mode = (legacy == false) and "hidden" or "shown"
         end
     end
 
-    self:SetChecked(showSearchBar and 1 or 0)
+    self:SetChecked((mode ~= "hidden") and 1 or 0)
 end
 
 -- Show Search Bar Checkbox OnClick
 function Guda_SettingsPopup_ShowSearchBarCheckbox_OnClick(self)
     local isChecked = self:GetChecked() == 1
 
-    -- Save setting
+    -- Save setting — sync both the legacy boolean and the new three-state.
+    -- If the user had toggle mode enabled, unchecking flips to hidden;
+    -- re-checking returns to "shown" (toggle must be re-enabled via its
+    -- own control).
     if Guda and Guda.Modules and Guda.Modules.DB then
         Guda.Modules.DB:SetSetting("showSearchBar", isChecked)
+        Guda.Modules.DB:SetSetting("searchBarMode", isChecked and "shown" or "hidden")
+    end
+    -- Keep the sibling toggle-mode checkbox in sync.
+    local tog = getglobal("Guda_SettingsPopup_SearchBarToggleCheckbox")
+    if tog then
+        tog:SetChecked(0)
+        if not isChecked and tog.Disable then tog:Disable() end
+        if isChecked and tog.Enable then tog:Enable() end
     end
 
     -- Update search bar visibility in bag frame
@@ -1001,6 +1016,51 @@ function Guda_SettingsPopup_ShowSearchBarCheckbox_OnClick(self)
     end
 end
 
+-- Search Bar Toggle Mode Checkbox: when checked, switches searchBarMode to
+-- "toggle" (bar hidden by default, icon button reveals it). Only meaningful
+-- while the parent "Show Search Bar" checkbox is checked — unchecking the
+-- parent forces this off.
+function Guda_SettingsPopup_SearchBarToggleCheckbox_OnLoad(self)
+    local text = getglobal(self:GetName().."Text")
+    if text then
+        text:SetText(Guda_L and Guda_L["Show via icon button"] or "Show via icon button")
+        local font, _, flags = text:GetFont()
+        if font then text:SetFont(font, 13, flags) end
+    end
+    self.tooltipText = Guda_L and Guda_L["Hide the search bar by default. Click the magnifying-glass icon on the bag to open it."]
+        or "Hide the search bar by default. Click the magnifying-glass icon on the bag to open it."
+
+    local mode = "shown"
+    if Guda and Guda.Modules and Guda.Modules.DB then
+        mode = Guda.Modules.DB:GetSetting("searchBarMode") or "shown"
+    end
+    self:SetChecked((mode == "toggle") and 1 or 0)
+    if mode == "hidden" and self.Disable then self:Disable() end
+end
+
+function Guda_SettingsPopup_SearchBarToggleCheckbox_OnClick(self)
+    local isChecked = self:GetChecked() == 1
+    if not (Guda and Guda.Modules and Guda.Modules.DB) then return end
+
+    if isChecked then
+        Guda.Modules.DB:SetSetting("searchBarMode", "toggle")
+        Guda.Modules.DB:SetSetting("showSearchBar", true)
+        local parent = getglobal("Guda_SettingsPopup_ShowSearchBarCheckbox")
+        if parent then parent:SetChecked(1) end
+    else
+        -- Fall back to the parent checkbox's state
+        local parent = getglobal("Guda_SettingsPopup_ShowSearchBarCheckbox")
+        local parentChecked = parent and parent:GetChecked() == 1
+        Guda.Modules.DB:SetSetting("searchBarMode", parentChecked and "shown" or "hidden")
+    end
+
+    if Guda.Modules.BagFrame and Guda.Modules.BagFrame.UpdateSearchBarVisibility then
+        Guda.Modules.BagFrame.searchBarExpanded = false
+        Guda.Modules.BagFrame:UpdateSearchBarVisibility()
+        Guda.Modules.BagFrame:Update()
+    end
+end
+
 -- Show Quest Bar Checkbox OnLoad
 function Guda_SettingsPopup_ShowQuestBarCheckbox_OnLoad(self)
     local text = getglobal(self:GetName().."Text")
diff --git a/UI/SettingsPopup.xml b/UI/SettingsPopup.xml
index b5ba6fb..2da2207 100644
--- a/UI/SettingsPopup.xml
+++ b/UI/SettingsPopup.xml
@@ -466,11 +466,24 @@
                         </Scripts>
                     </CheckButton>
 
-                    <!-- Hide Bagline Checkbox -->
-                    <CheckButton name="Guda_SettingsPopup_HoverBaglineCheckbox" inherits="OptionsCheckButtonTemplate">
+                    <!-- Search Bar Toggle-Mode Checkbox (indented sub-option of Show Search Bar) -->
+                    <CheckButton name="Guda_SettingsPopup_SearchBarToggleCheckbox" inherits="OptionsCheckButtonTemplate">
                         <Anchors>
                             <Anchor point="TOPLEFT" relativePoint="BOTTOMLEFT" relativeTo="Guda_SettingsPopup_ShowSearchBarCheckbox">
-                                <Offset><AbsDimension x="0" y="-8"/></Offset>
+                                <Offset><AbsDimension x="20" y="-4"/></Offset>
+                            </Anchor>
+                        </Anchors>
+                        <Scripts>
+                            <OnLoad>Guda_SettingsPopup_SearchBarToggleCheckbox_OnLoad(this)</OnLoad>
+                            <OnClick>Guda_SettingsPopup_SearchBarToggleCheckbox_OnClick(this)</OnClick>
+                        </Scripts>
+                    </CheckButton>
+
+                    <!-- Hide Bagline Checkbox (anchored beneath the toggle sub-option) -->
+                    <CheckButton name="Guda_SettingsPopup_HoverBaglineCheckbox" inherits="OptionsCheckButtonTemplate">
+                        <Anchors>
+                            <Anchor point="TOPLEFT" relativePoint="BOTTOMLEFT" relativeTo="Guda_SettingsPopup_SearchBarToggleCheckbox">
+                                <Offset><AbsDimension x="-20" y="-8"/></Offset>
                             </Anchor>
                         </Anchors>
                         <Scripts>