diff --git a/README.md b/README.md
index fa093c3..464e9b1 100644
--- a/README.md
+++ b/README.md
@@ -37,6 +37,7 @@ This is the most accurate recipe as every tensor is scaled dynamically.
 from float8_experimental.float8_linear_utils import (
     swap_linear_with_float8_linear,
 )
+from float8_experimental.fsdp_utils import precompute_float8_dynamic_scale_for_fsdp
 from float8_experimental.float8_linear import Float8Linear
 
 # create model
@@ -51,7 +52,18 @@ model = FSDP(model, use_orig_params=True)
 # optional: enable torch.compile for improved performance
 m = torch.compile(m)
 
-# train/finetune (not shown)
+# toy training loop
+for _ in range(N_ITER):
+    optimizer.zero_grad()
+    y = m(x)
+    y.sum().backward()
+    optimizer.step()
+
+    # specific to fsdp2 + dynamic scaling, when fp8 all-gather is turned on
+    # this method is optional but is highly recommended for performance
+    # it calcuclates scales for all parameters in a single all-reduce
+    precompute_float8_dynamic_scale_for_fsdp(model)
+
 ```
 
 ## float8 linear with delayed scaling
@@ -71,7 +83,7 @@ m = Model(...)
 # convert all `torch.nn.Linear` modules to `Float8Linear`, specifying scaling
 # type
 swap_linear_with_float8_linear(
-    m, 
+    m,
     Float8Linear,
     scaling_type_x=TensorScalingType.DELAYED,
     scaling_type_w=TensorScalingType.DELAYED,
diff --git a/benchmarks/bench_multi_gpu.py b/benchmarks/bench_multi_gpu.py
index 12a1ddb..00a549c 100644
--- a/benchmarks/bench_multi_gpu.py
+++ b/benchmarks/bench_multi_gpu.py
@@ -14,7 +14,7 @@
 import torch.multiprocessing as mp
 import torch.nn as nn
 import torch.utils.benchmark as benchmark
-from float8_experimental.float8_linear import Float8Linear, TensorScalingType
+from float8_experimental.float8_linear import TensorScalingType
 from float8_experimental.float8_linear_utils import (
     swap_linear_with_float8_linear,
     sync_float8_amax_and_scale_history,
diff --git a/benchmarks/profile_linear_float8.py b/benchmarks/profile_linear_float8.py
index 1ef5478..503a01a 100644
--- a/benchmarks/profile_linear_float8.py
+++ b/benchmarks/profile_linear_float8.py
@@ -18,7 +18,7 @@
 import torch
 import torch.nn as nn
 import torch.nn.functional as F
-from float8_experimental.float8_linear import Float8Linear, TensorScalingType
+from float8_experimental.float8_linear import TensorScalingType
 from float8_experimental.float8_linear_utils import (
     linear_requires_sync,
     swap_linear_with_float8_linear,
diff --git a/float8_experimental/float8_dynamic_utils.py b/float8_experimental/float8_dynamic_utils.py
index f48424c..b355098 100644
--- a/float8_experimental/float8_dynamic_utils.py
+++ b/float8_experimental/float8_dynamic_utils.py
@@ -9,10 +9,7 @@
 
 from typing import Any, Optional, Tuple
 
-import float8_experimental.config as config
-
 import torch
-import torch.nn as nn
 import torch.utils._pytree as pytree
 
 from float8_experimental.float8_tensor import (
@@ -85,7 +82,12 @@ def cast_to_float8_e5m2_dynamic_bw(
 
 class WeightWithDynamicFloat8CastTensor(torch.Tensor):
     @staticmethod
-    def __new__(cls, tensor: torch.Tensor, mm_config: ScaledMMConfig):
+    def __new__(
+        cls,
+        tensor: torch.Tensor,
+        mm_config: ScaledMMConfig,
+        precomputed_scale: Optional[torch.Tensor] = None,
+    ):
         return torch.Tensor._make_wrapper_subclass(
             cls,
             tensor.size(),
@@ -99,9 +101,18 @@ def __new__(cls, tensor: torch.Tensor, mm_config: ScaledMMConfig):
             requires_grad=tensor.requires_grad,
         )
 
-    def __init__(self, tensor: torch.Tensor, mm_config: ScaledMMConfig):
+    def __init__(
+        self,
+        tensor: torch.Tensor,
+        mm_config: ScaledMMConfig,
+        precomputed_scale: Optional[torch.Tensor] = None,
+    ):
         self._tensor = tensor
         self._mm_config = mm_config
+        # for dynamic scaling
+        # `precompute_float8_dynamic_scale_for_fsdp` calculates scales
+        # for all float8 parameters after optimizer step
+        self._precomputed_scale = precomputed_scale
 
     @classmethod
     def __torch_dispatch__(cls, func, types, args, kwargs=None):
@@ -130,20 +141,35 @@ def unwrap(t):
         )
 
     def __tensor_flatten__(self):
-        return ["_tensor"], self._mm_config
+        if self._precomputed_scale:
+            return ["_tensor", "_precomputed_scale"], self._mm_config
+        else:
+            return ["_tensor"], self._mm_config
 
     @staticmethod
     def __tensor_unflatten__(inner_tensors, flatten_spec, outer_size, outer_stride):
         mm_config = flatten_spec
-        return WeightWithDynamicFloat8CastTensor(inner_tensors["_tensor"], mm_config)
+        return WeightWithDynamicFloat8CastTensor(
+            inner_tensors["_tensor"],
+            mm_config,
+            getattr(inner_tensors, "_precomputed_scale", None),
+        )
 
     def __repr__(self):
         return f"WeightWithDynamicFloat8CastTensor(tensor={self._tensor}, mm_config={self._mm_config})"
 
     def fsdp_pre_all_gather(self, mesh):
-        float8_tensor = cast_to_float8_e4m3_dynamic(
-            self._tensor, self._mm_config, reduce_amax=True
-        )
+        if self._precomputed_scale is not None:
+            float8_tensor = Float8Tensor.to_float8(
+                self._tensor,
+                self._precomputed_scale,
+                torch.float8_e4m3fn,
+                mm_config=self._mm_config,
+            )
+        else:
+            float8_tensor = cast_to_float8_e4m3_dynamic(
+                self._tensor, self._mm_config, reduce_amax=True
+            )
         return (float8_tensor._data,), (float8_tensor._scale,)
 
     def fsdp_post_all_gather(
diff --git a/float8_experimental/float8_linear_utils.py b/float8_experimental/float8_linear_utils.py
index 13b47a3..e7abe5c 100644
--- a/float8_experimental/float8_linear_utils.py
+++ b/float8_experimental/float8_linear_utils.py
@@ -3,10 +3,8 @@
 #
 # This source code is licensed under the BSD 3-Clause license found in the
 # LICENSE file in the root directory of this source tree.
-import copy
 import logging
-from enum import auto, Enum
-from typing import Callable, List, Optional, Type, Union
+from typing import Callable, List, Optional
 
 import torch
 import torch.distributed as dist
diff --git a/float8_experimental/fsdp_utils.py b/float8_experimental/fsdp_utils.py
new file mode 100644
index 0000000..0ade173
--- /dev/null
+++ b/float8_experimental/fsdp_utils.py
@@ -0,0 +1,52 @@
+import math
+from typing import List
+
+import torch
+import torch.nn as nn
+from float8_experimental.float8_dynamic_utils import WeightWithDynamicFloat8CastTensor
+from float8_experimental.float8_linear import Float8Linear, TensorScalingType
+from float8_experimental.float8_utils import EPS
+
+
+@torch.no_grad()
+def precompute_float8_dynamic_scale_for_fsdp(module: nn.Module) -> None:
+    """
+    Calculate scale dynamically for all float8 parameters.
+    This should be run after the optimizer step. It performs a single all-reduce to compute the
+    scales for all float8 weights.
+    Example usage:
+        model(input).sum().backward()
+        optim.step()
+        precompute_float8_dynamic_scale_for_fsdp(model)
+    """
+    from torch.distributed._tensor import DTensor
+
+    if any(
+        isinstance(m, Float8Linear) and m.scaling_type_w is TensorScalingType.DELAYED
+        for m in module.modules()
+    ):
+        raise NotImplementedError("Only supports delayed scaling")
+    float8_linears: List[Float8Linear] = [
+        m
+        for m in module.modules()
+        if isinstance(m, Float8Linear)
+        and isinstance(m.weight, DTensor)
+        and isinstance(m.weight._local_tensor, WeightWithDynamicFloat8CastTensor)
+    ]
+    weights: List[DTensor] = [float8_linear.weight for float8_linear in float8_linears]
+
+    if not weights:
+        return
+
+    # inf-norm is equivalent to max(abs(w))
+    max_weights = torch._foreach_norm(weights, ord=math.inf)  # Partial
+    amax_tensor = torch.vstack(max_weights)  # Partial
+    # clamp is dispatched through DTensor
+    # it will issue a single all-reduce
+    amax_tensor = torch.clamp(amax_tensor, EPS)  # Replicate
+    scale_tensor = torch.finfo(torch.float8_e4m3fn).max / amax_tensor  # Replicate
+    if amax_tensor.dtype is torch.float16:
+        scale_tensor = torch.clamp(scale_tensor, max=torch.finfo(torch.float16).max)
+    scales = torch.split(scale_tensor, 1)  # Replicate
+    for scale, float8_linear in zip(scales, float8_linears):
+        float8_linear.weight._local_tensor._precomputed_scale = scale._local_tensor
diff --git a/test/test_dtensor.py b/test/test_dtensor.py
index 2088b78..8aada4b 100644
--- a/test/test_dtensor.py
+++ b/test/test_dtensor.py
@@ -15,7 +15,7 @@
 import torch.nn.functional as F
 
 from float8_experimental.float8_dynamic_utils import NoopFwToFloat8E5M2Bw
-from float8_experimental.float8_linear import Float8Linear, TensorScalingType
+from float8_experimental.float8_linear import TensorScalingType
 from float8_experimental.float8_linear_utils import swap_linear_with_float8_linear
 from float8_experimental.float8_tensor import Float8Tensor, ScaledMMConfig
 from float8_experimental.float8_tensor_parallel import (
diff --git a/test/test_fsdp.py b/test/test_fsdp.py
index 79bba19..48b28da 100644
--- a/test/test_fsdp.py
+++ b/test/test_fsdp.py
@@ -21,7 +21,7 @@
 import torch.distributed as dist
 import torch.multiprocessing as mp
 import torch.nn as nn
-from float8_experimental.float8_linear import Float8Linear, TensorScalingType
+from float8_experimental.float8_linear import TensorScalingType
 from float8_experimental.float8_linear_utils import (
     linear_requires_sync,
     swap_linear_with_float8_linear,
@@ -149,7 +149,7 @@ def forward_backward(model, optim, is_fp8, i):
             model_fp8 = torch.compile(model_fp8)
         y_local = forward_backward(model, optimizer, is_fp8=False, i=i)
         y_local_fp8 = forward_backward(model_fp8, optimizer_fp8, is_fp8=True, i=i)
-        local_sqnr = compute_error(y_local, y_local_fp8)
+        local_sqnr = compute_error(y_local, y_local_fp8)  # noqa: F841
 
     # get global y
     y_global = [
diff --git a/test/test_fsdp2/test_fsdp2_common.py b/test/test_fsdp2/test_fsdp2_common.py
index c20e8cc..af57871 100644
--- a/test/test_fsdp2/test_fsdp2_common.py
+++ b/test/test_fsdp2/test_fsdp2_common.py
@@ -1,12 +1,12 @@
 import contextlib
-from typing import List, Type
+from typing import List
 
 import float8_experimental.config as config
 
 import torch
 import torch.distributed as dist
 import torch.nn as nn
-from float8_experimental.float8_linear import Float8Linear
+from float8_experimental.fsdp_utils import precompute_float8_dynamic_scale_for_fsdp
 
 
 def check_parity_no_mp(
@@ -16,6 +16,7 @@ def check_parity_no_mp(
     fsdp_model: nn.Module,
     fsdp_optim: torch.optim.Optimizer,
     local_inp: torch.Tensor,
+    precompute: bool = False,
 ):
     for iter_idx in range(10):
         losses: List[torch.Tensor] = []
@@ -29,6 +30,8 @@ def check_parity_no_mp(
                     param.grad.div_(dist.get_world_size())
             # TODO(future): add amax syncing once delayed scaling is supported
             optim.step()
+            if model is fsdp_model and precompute:
+                precompute_float8_dynamic_scale_for_fsdp(model)
         test_cls.assertEqual(losses[0], losses[1])
 
 
diff --git a/test/test_fsdp2/test_fsdp2_eager.py b/test/test_fsdp2/test_fsdp2_eager.py
index 57123cd..bdbc878 100644
--- a/test/test_fsdp2/test_fsdp2_eager.py
+++ b/test/test_fsdp2/test_fsdp2_eager.py
@@ -1,5 +1,4 @@
 import copy
-import itertools
 import threading
 import unittest
 from typing import Any, List
@@ -9,7 +8,7 @@
 import torch.distributed as dist
 import torch.nn as nn
 from float8_experimental.float8_dynamic_utils import WeightWithDynamicFloat8CastTensor
-from float8_experimental.float8_linear import Float8Linear, TensorScalingType
+from float8_experimental.float8_linear import TensorScalingType
 from float8_experimental.float8_linear_utils import swap_linear_with_float8_linear
 from test_fsdp2_common import (
     check_parity_bf16_mp,
@@ -87,10 +86,21 @@ def world_size(self) -> int:
 
     @skip_if_lt_x_gpu(2)
     def test_transformer_parity_dynamic(self):
-        for enable_fsdp_fp8_all_gather in [False, True]:
-            self._test_transformer_parity_dynamic(enable_fsdp_fp8_all_gather)
+        self.run_subtests(
+            {
+                "enable_fsdp_fp8_all_gather": [False, True],
+                "precompute": [False, True],
+            },
+            self._test_transformer_parity_dynamic,
+        )
 
-    def _test_transformer_parity_dynamic(self, enable_fsdp_fp8_all_gather: bool):
+    def _test_transformer_parity_dynamic(
+        self,
+        enable_fsdp_fp8_all_gather: bool,
+        precompute: bool,
+    ):
+        if not enable_fsdp_fp8_all_gather and precompute:
+            return
         # NOTE: Weight-tying does not compose with fp8 all-gather because the
         # embedding weight and output linear weight are tied but only the
         # latter uses fp8 compute. With fp8 all-gather, FSDP would pre-cast to
@@ -110,7 +120,9 @@ def _test_transformer_parity_dynamic(self, enable_fsdp_fp8_all_gather: bool):
         local_inp = torch.randint(
             0, ref_module.tok_embeddings.weight.size(0), (16, 16), device="cuda"
         )
-        check_parity_no_mp(self, ref_module, ref_optim, module, optim, local_inp)
+        check_parity_no_mp(
+            self, ref_module, ref_optim, module, optim, local_inp, precompute
+        )
 
     @skip_if_lt_x_gpu(2)
     def test_transformer_memory(self):
diff --git a/test/test_fsdp_compile.py b/test/test_fsdp_compile.py
index 715db29..3f1b5dc 100644
--- a/test/test_fsdp_compile.py
+++ b/test/test_fsdp_compile.py
@@ -18,7 +18,7 @@
 import torch.multiprocessing as mp
 import torch.nn as nn
 from float8_experimental import config
-from float8_experimental.float8_linear import Float8Linear, TensorScalingType
+from float8_experimental.float8_linear import TensorScalingType
 from float8_experimental.float8_linear_utils import (
     swap_linear_with_float8_linear,
     sync_float8_amax_and_scale_history,
diff --git a/test/test_inference_flows.py b/test/test_inference_flows.py
index 1dd09d9..55543ae 100644
--- a/test/test_inference_flows.py
+++ b/test/test_inference_flows.py
@@ -13,7 +13,7 @@
 import torch
 import torch.nn as nn
 import torch.nn.functional as F
-from float8_experimental.float8_linear import Float8Linear, TensorScalingType
+from float8_experimental.float8_linear import TensorScalingType
 from float8_experimental.float8_linear_utils import swap_linear_with_float8_linear
 from float8_experimental.float8_tensor import Float8Tensor
 from float8_experimental.float8_utils import compute_error
diff --git a/test/test_numerics_integration.py b/test/test_numerics_integration.py
index 401d0fd..845c9ea 100644
--- a/test/test_numerics_integration.py
+++ b/test/test_numerics_integration.py
@@ -14,7 +14,7 @@
 import torch
 import torch.nn as nn
 import torch.nn.functional as F
-from float8_experimental.float8_linear import Float8Linear, TensorScalingType
+from float8_experimental.float8_linear import TensorScalingType
 from float8_experimental.float8_linear_utils import (
     linear_requires_sync,
     swap_linear_with_float8_linear,