diff --git a/src/components/progress-circle/progress-circle.ts b/src/components/progress-circle/progress-circle.ts
index 34655b893733..d91dcb30c223 100644
--- a/src/components/progress-circle/progress-circle.ts
+++ b/src/components/progress-circle/progress-circle.ts
@@ -56,7 +56,7 @@ export class MdProgressCircle {
     // total circumference.
 
     // The total circumference is calculated based on the radius we use, 45.
-    // PI * 2 * 45
+    // PI * 2 * 40
     return 251.3274 * (100 - this._value) / 100;
   }
 
diff --git a/src/components/progress-fab/README.md b/src/components/progress-fab/README.md
new file mode 100644
index 000000000000..b53eb7cb9b0d
--- /dev/null
+++ b/src/components/progress-fab/README.md
@@ -0,0 +1,25 @@
+# MdProgressFab
+`MdProgressFab` is a normal FAB button surrounded with a `progress-circle`.
+
+### Screenshots
+![Preview](https://cloud.githubusercontent.com/assets/4987015/14406410/eaf20a54-fea6-11e5-8a24-4f751df7e80a.png)
+
+## `[md-progress-fab]`
+### Bound Properties
+
+| Name | Type | Description |
+| --- | --- | --- |
+| `color` | `"primary" | "accent" | "warn"` | The color palette for the FAB button |
+| `value` | `number` | Value for the `progress-circle`.<br/> Necessary when using the `determinate` mode. |
+| `mode` | `"determinate" | "indeterminate"` | Mode for the `progress-circle`.<br/> |
+| `progressColor` | `"primary" | "accent" | "warn"` | Color for the `progress-circle`.<br/> |
+
+
+### Examples
+A basic progress-fab will have the markup:
+```html
+<button md-progress-fab color="accent">
+  <i class="material-icons md-24">favorite</i>
+  </button>
+```
+It will use by default a `indeterminate` progress circle.
diff --git a/src/components/progress-fab/progress-fab.html b/src/components/progress-fab/progress-fab.html
new file mode 100644
index 000000000000..17707125e068
--- /dev/null
+++ b/src/components/progress-fab/progress-fab.html
@@ -0,0 +1,13 @@
+<span class="md-button-wrapper">
+    <ng-content></ng-content>
+
+    <div class="md-progress-wrap">
+        <md-progress-circle
+          [mode]="progressMode"
+          [value]="progressValue"
+          [attr.color]="progressColor">
+        </md-progress-circle>
+    </div>
+</span>
+
+
diff --git a/src/components/progress-fab/progress-fab.scss b/src/components/progress-fab/progress-fab.scss
new file mode 100644
index 000000000000..d9ed68f104c5
--- /dev/null
+++ b/src/components/progress-fab/progress-fab.scss
@@ -0,0 +1,34 @@
+@import "../button/button-base";
+
+$md-fab-progress-stroke: 6px;
+
+// Subtract 1px to avoid the ugly space between FAB button and progress circle.
+$md-fab-progress-rectangle: ($md-fab-size + $md-fab-padding + $md-fab-progress-stroke / 2) - 1px;
+
+:host {
+  @include md-fab($md-fab-size, $md-fab-padding);
+
+  margin: $md-fab-progress-stroke;
+
+  .md-progress-wrap {
+    position: absolute;
+    top: 50%;
+    left: 50%;
+
+    transform: translate3d(-50%, -50%, 0);
+
+    md-progress-circle {
+      width: $md-fab-progress-rectangle;
+      height: $md-fab-progress-rectangle;
+
+      svg {
+        overflow: visible;
+
+        circle {
+          stroke-width: $md-fab-progress-stroke;
+        }
+      }
+    }
+  }
+
+}
\ No newline at end of file
diff --git a/src/components/progress-fab/progress-fab.spec.ts b/src/components/progress-fab/progress-fab.spec.ts
new file mode 100644
index 000000000000..53f251d6880e
--- /dev/null
+++ b/src/components/progress-fab/progress-fab.spec.ts
@@ -0,0 +1,123 @@
+import {
+  it,
+  describe,
+  expect,
+  beforeEach,
+  inject,
+} from '@angular/core/testing';
+import {TestComponentBuilder} from '@angular/compiler/testing';
+import {Component} from '@angular/core';
+import {By} from '@angular/platform-browser';
+import {MdProgressFab} from './progress-fab';
+import {MdProgressCircle} from '../progress-circle/progress-circle';
+
+export function main() {
+  describe('MdProgressFab', () => {
+    let builder: TestComponentBuilder;
+
+    beforeEach(inject([TestComponentBuilder], (tcb: TestComponentBuilder) => {
+      builder = tcb;
+    }));
+
+    it('should correctly apply the color attribute on the progress circle', (done: () => void) => {
+      return builder
+        .createAsync(TestApp)
+        .then((fixture) => {
+          let testComponent = fixture.debugElement.componentInstance;
+          let progressDebugElement = fixture.debugElement.query(By.css('md-progress-circle'));
+
+          testComponent.progressColor = 'primary';
+          fixture.detectChanges();
+
+          expect(progressDebugElement.nativeElement.getAttribute('color')).toBe('primary');
+
+          testComponent.progressColor = 'accent';
+          fixture.detectChanges();
+
+          expect(progressDebugElement.nativeElement.getAttribute('color')).toBe('accent');
+
+          done();
+      });
+    });
+
+    it('should correctly apply the mode on the progress circle', (done: () => void) => {
+      return builder
+        .createAsync(TestApp)
+        .then((fixture) => {
+          let testComponent = fixture.debugElement.componentInstance;
+          let progressComponent: MdProgressCircle = fixture.debugElement
+            .query(By.css('md-progress-circle')).componentInstance;
+
+          testComponent.progressMode = 'determinate';
+          fixture.detectChanges();
+
+          expect(progressComponent.mode).toBe('determinate');
+
+          testComponent.progressColor = 'indeterminate';
+          fixture.detectChanges();
+
+          expect(progressComponent.mode).toBe('determinate');
+
+          done();
+        });
+    });
+
+    it('should correctly apply the value on the progress circle', (done: () => void) => {
+      return builder
+        .createAsync(TestApp)
+        .then((fixture) => {
+          let testComponent = fixture.debugElement.componentInstance;
+          let progressComponent: MdProgressCircle = fixture.debugElement
+            .query(By.css('md-progress-circle')).componentInstance;
+
+          testComponent.progressValue = 50;
+          fixture.detectChanges();
+
+          expect(progressComponent._value).toBe(50);
+
+          testComponent.progressValue = 70;
+          fixture.detectChanges();
+
+          expect(progressComponent._value).toBe(70);
+
+          done();
+        });
+    });
+
+    it('should correctly apply the color on the button', (done: () => void) => {
+      return builder
+        .createAsync(TestApp)
+        .then((fixture) => {
+          let testComponent = fixture.debugElement.componentInstance;
+          let buttonDebugElement = fixture.debugElement.query(By.css('button'));
+
+          testComponent.buttonColor = 'primary';
+          fixture.detectChanges();
+
+          expect(buttonDebugElement.nativeElement.classList.contains('md-primary')).toBe(true);
+
+          testComponent.buttonColor = 'accent';
+          fixture.detectChanges();
+          expect(buttonDebugElement.nativeElement.classList.contains('md-accent')).toBe(true);
+
+          done();
+        });
+    });
+
+  });
+}
+
+@Component({
+  selector: 'test-app',
+  template: `
+  <button md-progress-fab [color]="buttonColor" [progressColor]="progressColor" 
+          [mode]="progressMode" [value]="progressValue">
+  </button>`,
+  directives: [MdProgressFab]
+})
+class TestApp {
+  buttonColor: string = 'primary';
+  progressColor: string = 'accent';
+  progressMode: string = 'indeterminate';
+  progressValue: number = 0;
+}
diff --git a/src/components/progress-fab/progress-fab.ts b/src/components/progress-fab/progress-fab.ts
new file mode 100644
index 000000000000..c1c688013841
--- /dev/null
+++ b/src/components/progress-fab/progress-fab.ts
@@ -0,0 +1,35 @@
+import {
+  Component,
+  ChangeDetectionStrategy,
+  Renderer,
+  ElementRef,
+  Input
+} from '@angular/core';
+import {MdProgressCircle} from '../progress-circle/progress-circle';
+import {MdButton} from '../button/button';
+
+@Component({
+  selector: '[md-progress-fab]:not(a)',
+  templateUrl: './components/progress-fab/progress-fab.html',
+  styleUrls: ['./components/progress-fab/progress-fab.css'],
+  directives: [MdProgressCircle],
+  inputs: ['color'],
+  host: {
+    '[class.md-button-focus]': 'isKeyboardFocused',
+    '(mousedown)': 'setMousedown()',
+    '(focus)': 'setKeyboardFocus()',
+    '(blur)': 'removeKeyboardFocus()'
+  },
+  changeDetection: ChangeDetectionStrategy.OnPush,
+})
+export class MdProgressFab extends MdButton {
+
+  @Input('mode') progressMode: string = 'indeterminate';
+  @Input('value') progressValue: number;
+  @Input('progressColor') progressColor: string;
+
+  constructor(elementRef: ElementRef, renderer: Renderer) {
+    super(elementRef, renderer);
+  }
+
+}
diff --git a/src/demo-app/button/button-demo.ts b/src/demo-app/button/button-demo.ts
index 9f591b02144b..50db8067a7f3 100644
--- a/src/demo-app/button/button-demo.ts
+++ b/src/demo-app/button/button-demo.ts
@@ -11,4 +11,14 @@ import {MdIcon} from '../../components/icon/icon';
 export class ButtonDemo {
   isDisabled: boolean = false;
   clickCounter: number = 0;
+  fabProgressValue: number = 0;
+
+  constructor() {
+
+    setInterval(() => this.increaseFabProgress(), 200);
+  }
+
+  increaseFabProgress() {
+    this.fabProgressValue += 7;
+  }
 }
diff --git a/src/demo-app/demo-app.html b/src/demo-app/demo-app.html
index a4b60622bc16..1d24b62e4120 100644
--- a/src/demo-app/demo-app.html
+++ b/src/demo-app/demo-app.html
@@ -13,6 +13,7 @@
       <a md-list-item [routerLink]="['overlay']">Overlay</a>
       <a md-list-item [routerLink]="['portal']">Portal</a>
       <a md-list-item [routerLink]="['progress-circle']">Progress Circle</a>
+      <a md-list-item [routerLink]="['progress-fab']">Progress Fab</a>
       <a md-list-item [routerLink]="['progress-bar']">Progress Bar</a>
       <a md-list-item [routerLink]="['radio']">Radio</a>
       <a md-list-item [routerLink]="['sidenav']">Sidenav</a>
diff --git a/src/demo-app/demo-app.ts b/src/demo-app/demo-app.ts
index 4e63e2206f48..ea4502435394 100644
--- a/src/demo-app/demo-app.ts
+++ b/src/demo-app/demo-app.ts
@@ -22,6 +22,7 @@ import {InputDemo} from './input/input-demo';
 import {LiveAnnouncerDemo} from './live-announcer/live-announcer-demo';
 import {GesturesDemo} from './gestures/gestures-demo';
 import {GridListDemo} from './grid-list/grid-list-demo';
+import {ProgressFabDemo} from './progress-fab/progress-fab-demo';
 
 @Component({
   selector: 'home',
@@ -56,6 +57,7 @@ export class Home {}
   new Route({path: '/sidenav', component: SidenavDemo}),
   new Route({path: '/progress-circle', component: ProgressCircleDemo}),
   new Route({path: '/progress-bar', component: ProgressBarDemo}),
+  new Route({path: '/progress-fab', component: ProgressFabDemo}),
   new Route({path: '/portal', component: PortalDemo}),
   new Route({path: '/overlay', component: OverlayDemo}),
   new Route({path: '/checkbox', component: CheckboxDemo}),
diff --git a/src/demo-app/progress-fab/progress-fab-demo.html b/src/demo-app/progress-fab/progress-fab-demo.html
new file mode 100644
index 000000000000..4ab9bce1e69b
--- /dev/null
+++ b/src/demo-app/progress-fab/progress-fab-demo.html
@@ -0,0 +1,42 @@
+<div class="demo-progress-fab">
+
+  <md-card class="demo-progress-card">
+    <md-toolbar color="primary">Basic</md-toolbar>
+    <md-card-content>
+      <div class="demo-content">
+        <button md-progress-fab color="accent">
+          <i class="material-icons md-24">favorite</i>
+        </button>
+
+        <button md-progress-fab
+                color="primary"
+                progressColor="warn"
+                mode="determinate"
+                [value]="fabProgressValue">
+
+          <i class="material-icons md-24">feedback</i>
+        </button>
+      </div>
+    </md-card-content>
+  </md-card>
+
+  <md-card class="demo-progress-card">
+    <md-toolbar color="primary">Determinate</md-toolbar>
+    <md-card-content>
+      <div class="demo-content">
+
+        <button md-progress-fab
+                class="demo-determinate-progress"
+                [color]="determinateColor"
+                progressColor="warn"
+                mode="determinate"
+                [value]="fabProgressValue"
+                [class.hide-progress]="determinateHidden">
+
+          <i class="material-icons md-24">feedback</i>
+        </button>
+      </div>
+    </md-card-content>
+  </md-card>
+
+</div>
diff --git a/src/demo-app/progress-fab/progress-fab-demo.scss b/src/demo-app/progress-fab/progress-fab-demo.scss
new file mode 100644
index 000000000000..8c6d4fb6b159
--- /dev/null
+++ b/src/demo-app/progress-fab/progress-fab-demo.scss
@@ -0,0 +1,26 @@
+.demo-progress-fab {
+
+  .demo-progress-card {
+    padding: 0;
+    margin: 16px;
+
+    .demo-content {
+      padding: 7px;
+
+      .demo-determinate-progress.hide-progress {
+        .md-progress-wrap {
+          md-progress-circle {
+            transition-duration: 0.7s;
+            transition-property: transform, opacity;
+            transition-timing-function: ease-out;
+
+            transform: scale(0.8);
+            opacity: 0;
+          }
+        }
+      }
+
+    }
+  }
+
+}
\ No newline at end of file
diff --git a/src/demo-app/progress-fab/progress-fab-demo.ts b/src/demo-app/progress-fab/progress-fab-demo.ts
new file mode 100644
index 000000000000..a08d2091de2b
--- /dev/null
+++ b/src/demo-app/progress-fab/progress-fab-demo.ts
@@ -0,0 +1,33 @@
+import {Component, ViewEncapsulation} from '@angular/core';
+import {MdProgressFab} from '../../components/progress-fab/progress-fab';
+import {MdToolbar} from '../../components/toolbar/toolbar';
+import {MdCard} from '../../components/card/card';
+
+@Component({
+  selector: 'progress-fab-demo',
+  templateUrl: 'demo-app/progress-fab/progress-fab-demo.html',
+  styleUrls: ['demo-app/progress-fab/progress-fab-demo.css'],
+  directives: [MdProgressFab, MdToolbar, MdCard],
+  encapsulation: ViewEncapsulation.None
+})
+export class ProgressFabDemo {
+
+  fabProgressValue: number = 0;
+
+  determinateHidden: boolean = false;
+  determinateColor: string = 'primary';
+
+  constructor() {
+
+    setInterval(() => this.increaseFabProgress(), 200);
+  }
+
+  increaseFabProgress() {
+    this.fabProgressValue += 7;
+
+    if (this.fabProgressValue >= 100) {
+      this.determinateColor = 'warn';
+      this.determinateHidden = true;
+    }
+  }
+}