diff --git a/lib/reek/configuration/app_configuration.rb b/lib/reek/configuration/app_configuration.rb
index 05612aa00..2d50f6290 100644
--- a/lib/reek/configuration/app_configuration.rb
+++ b/lib/reek/configuration/app_configuration.rb
@@ -67,7 +67,10 @@ def directive_for(source_via)
       end
 
       def path_excluded?(path)
-        excluded_paths.map(&:expand_path).include?(path.expand_path)
+        expanded_path = path.expand_path
+        excluded_paths.map(&:expand_path).any? do |excluded_path|
+          expanded_path == excluded_path || expanded_path.to_s.start_with?("#{excluded_path}/")
+        end
       end
 
       def load_values(values)
diff --git a/lib/reek/configuration/excluded_paths.rb b/lib/reek/configuration/excluded_paths.rb
index 3737892ac..79f9ef3f2 100644
--- a/lib/reek/configuration/excluded_paths.rb
+++ b/lib/reek/configuration/excluded_paths.rb
@@ -14,8 +14,10 @@ module ExcludedPaths
       # @param paths [String]
       # @return [undefined]
       def add(paths)
-        paths.flat_map { |path| Dir[path] }.
-          each { |path| self << Pathname(path) }
+        paths.flat_map do |path|
+          expanded = Dir[path]
+          expanded.empty? ? [path] : expanded
+        end.each { |path| self << Pathname(path) }
       end
     end
   end