diff --git a/tools/idf_monitor.py b/tools/idf_monitor.py
index aaf6cf578..a275a40d0 100755
--- a/tools/idf_monitor.py
+++ b/tools/idf_monitor.py
@@ -796,7 +796,7 @@ def main():
         '--baud', '-b',
         help='Serial port baud rate',
         type=int,
-        default=os.environ.get('MONITOR_BAUD', 115200))
+        default=os.getenv('IDF_MONITOR_BAUD', os.getenv('MONITORBAUD', 115200)))
 
     parser.add_argument(
         '--make', '-m',
diff --git a/tools/idf_py_actions/serial_ext.py b/tools/idf_py_actions/serial_ext.py
index 0be80d281..ef8bd68f6 100644
--- a/tools/idf_py_actions/serial_ext.py
+++ b/tools/idf_py_actions/serial_ext.py
@@ -2,6 +2,8 @@ import json
 import os
 import sys
 
+import click
+
 from idf_py_actions.errors import FatalError
 from idf_py_actions.global_options import global_options
 from idf_py_actions.tools import ensure_build_directory, run_tool
@@ -21,8 +23,9 @@ def action_extensions(base_actions, project_path):
 
         ports = list(reversed(sorted(p.device for p in serial.tools.list_ports.comports())))
         try:
-            print("Choosing default port %s (use '-p PORT' option to set a specific serial port)" %
-                  ports[0].encode("ascii", "ignore"))
+            print(
+                "Choosing default port %s (use '-p PORT' option to set a specific serial port)" %
+                ports[0].encode("ascii", "ignore"))
             return ports[0]
         except IndexError:
             raise RuntimeError(
@@ -60,7 +63,7 @@ def action_extensions(base_actions, project_path):
 
         return result
 
-    def monitor(action, ctx, args, print_filter, encrypted):
+    def monitor(action, ctx, args, print_filter, encrypted, monitor_baud):
         """
         Run idf_monitor.py to watch build output
         """
@@ -74,14 +77,24 @@ def action_extensions(base_actions, project_path):
 
         elf_file = os.path.join(args.build_dir, project_desc["app_elf"])
         if not os.path.exists(elf_file):
-            raise FatalError("ELF file '%s' not found. You need to build & flash the project before running 'monitor', "
-                             "and the binary on the device must match the one in the build directory exactly. "
-                             "Try '%s flash monitor'." % (elf_file, ctx.info_name))
+            raise FatalError(
+                "ELF file '%s' not found. You need to build & flash the project before running 'monitor', "
+                "and the binary on the device must match the one in the build directory exactly. "
+                "Try '%s flash monitor'." % (elf_file, ctx.info_name))
         idf_monitor = os.path.join(os.environ["IDF_PATH"], "tools/idf_monitor.py")
         monitor_args = [PYTHON, idf_monitor]
         if args.port is not None:
             monitor_args += ["-p", args.port]
-        monitor_args += ["-b", project_desc["monitor_baud"]]
+
+        if not monitor_baud:
+            if os.getenv("IDF_MONITOR_BAUD"):
+                monitor_baud = os.getenv("IDF_MONITOR_BAUD", None)
+            elif os.getenv("MONITORBAUD"):
+                monitor_baud = os.getenv("MONITORBAUD", None)
+            else:
+                monitor_baud = project_desc["monitor_baud"]
+
+        monitor_args += ["-b", monitor_baud]
         monitor_args += ["--toolchain-prefix", project_desc["monitor_toolprefix"]]
 
         if print_filter is not None:
@@ -130,7 +143,7 @@ def action_extensions(base_actions, project_path):
 
     baud_rate = {
         "names": ["-b", "--baud"],
-        "help": "Baud rate.",
+        "help": "Baud rate for flashing.",
         "scope": "global",
         "envvar": "ESPBAUD",
         "default": 460800,
@@ -163,8 +176,7 @@ def action_extensions(base_actions, project_path):
                 "callback": monitor,
                 "help": "Display serial output.",
                 "options": [
-                    port,
-                    {
+                    port, {
                         "names": ["--print-filter", "--print_filter"],
                         "help": (
                             "Filter monitor output.\n"
@@ -180,10 +192,20 @@ def action_extensions(base_actions, project_path):
                     }, {
                         "names": ["--encrypted", "-E"],
                         "is_flag": True,
-                        "help": ("Enable encrypted flash targets.\n"
-                                 "IDF Monitor will invoke encrypted-flash and encrypted-app-flash targets "
-                                 "if this option is set. This option is set by default if IDF Monitor was invoked "
-                                 "together with encrypted-flash or encrypted-app-flash target."),
+                        "help": (
+                            "Enable encrypted flash targets.\n"
+                            "IDF Monitor will invoke encrypted-flash and encrypted-app-flash targets "
+                            "if this option is set. This option is set by default if IDF Monitor was invoked "
+                            "together with encrypted-flash or encrypted-app-flash target."),
+                    }, {
+                        "names": ["--monitor-baud", "-B"],
+                        "type": click.INT,
+                        "help": (
+                            "Baud rate for monitor.\n"
+                            "If this option is not provided IDF_MONITOR_BAUD and MONITORBAUD "
+                            "environment variables and project_description.json in build directory "
+                            "(generated by CMake from project's sdkconfig) "
+                            "will be checked for default value."),
                     }
                 ],
                 "order_dependencies": [