diff --git a/nixos/modules/system/boot/systemd.nix b/nixos/modules/system/boot/systemd.nix
index 9e7387e40379..bb6fcc1d38ce 100644
--- a/nixos/modules/system/boot/systemd.nix
+++ b/nixos/modules/system/boot/systemd.nix
@@ -53,7 +53,6 @@ let
       "debug-shell.service"
 
       # Udev.
-      "systemd-tmpfiles-setup-dev-early.service"
       "systemd-udevd-control.socket"
       "systemd-udevd-kernel.socket"
       "systemd-udevd.service"
diff --git a/nixos/modules/system/boot/systemd/initrd.nix b/nixos/modules/system/boot/systemd/initrd.nix
index 4abe379be5d0..fa144951b208 100644
--- a/nixos/modules/system/boot/systemd/initrd.nix
+++ b/nixos/modules/system/boot/systemd/initrd.nix
@@ -67,8 +67,6 @@ let
     "systemd-poweroff.service"
     "systemd-reboot.service"
     "systemd-sysctl.service"
-    "systemd-tmpfiles-setup-dev.service"
-    "systemd-tmpfiles-setup.service"
     "timers.target"
     "tpm2.target"
     "umount.target"
@@ -518,8 +516,6 @@ in {
                      (v: let n = escapeSystemdPath v.where;
                          in nameValuePair "${n}.automount" (automountToUnit v)) cfg.automounts);
 
-      # make sure all the /dev nodes are set up
-      services.systemd-tmpfiles-setup-dev.wantedBy = ["sysinit.target"];
 
       services.initrd-nixos-activation = {
         after = [ "initrd-fs.target" ];
diff --git a/nixos/modules/system/boot/systemd/tmpfiles.nix b/nixos/modules/system/boot/systemd/tmpfiles.nix
index af37fb07d29b..f609da314c86 100644
--- a/nixos/modules/system/boot/systemd/tmpfiles.nix
+++ b/nixos/modules/system/boot/systemd/tmpfiles.nix
@@ -1,10 +1,121 @@
-{ config, lib, pkgs, utils, ... }:
+{ config, lib, pkgs, ... }:
 
 with lib;
 
 let
   cfg = config.systemd.tmpfiles;
+  initrdCfg = config.boot.initrd.systemd.tmpfiles;
   systemd = config.systemd.package;
+
+  settingsOption = {
+    description = ''
+      Declare systemd-tmpfiles rules to create, delete, and clean up volatile
+      and temporary files and directories.
+
+      Even though the service is called `*tmp*files` you can also create
+      persistent files.
+    '';
+    example = {
+      "10-mypackage" = {
+        "/var/lib/my-service/statefolder".d = {
+          mode = "0755";
+          user = "root";
+          group = "root";
+        };
+      };
+    };
+    default = {};
+    type = types.attrsOf (types.attrsOf (types.attrsOf (types.submodule ({ name, config, ... }: {
+      options.type = mkOption {
+        type = types.str;
+        default = name;
+        example = "d";
+        description = ''
+          The type of operation to perform on the file.
+
+          The type consists of a single letter and optionally one or more
+          modifier characters.
+
+          Please see the upstream documentation for the available types and
+          more details:
+          <https://www.freedesktop.org/software/systemd/man/tmpfiles.d>
+        '';
+      };
+      options.mode = mkOption {
+        type = types.str;
+        default = "-";
+        example = "0755";
+        description = ''
+          The file access mode to use when creating this file or directory.
+        '';
+      };
+      options.user = mkOption {
+        type = types.str;
+        default = "-";
+        example = "root";
+        description = ''
+          The user of the file.
+
+          This may either be a numeric ID or a user/group name.
+
+          If omitted or when set to `"-"`, the user and group of the user who
+          invokes systemd-tmpfiles is used.
+        '';
+      };
+      options.group = mkOption {
+        type = types.str;
+        default = "-";
+        example = "root";
+        description = ''
+          The group of the file.
+
+          This may either be a numeric ID or a user/group name.
+
+          If omitted or when set to `"-"`, the user and group of the user who
+          invokes systemd-tmpfiles is used.
+        '';
+      };
+      options.age = mkOption {
+        type = types.str;
+        default = "-";
+        example = "10d";
+        description = ''
+          Delete a file when it reaches a certain age.
+
+          If a file or directory is older than the current time minus the age
+          field, it is deleted.
+
+          If set to `"-"` no automatic clean-up is done.
+        '';
+      };
+      options.argument = mkOption {
+        type = types.str;
+        default = "";
+        example = "";
+        description = ''
+          An argument whose meaning depends on the type of operation.
+
+          Please see the upstream documentation for the meaning of this
+          parameter in different situations:
+          <https://www.freedesktop.org/software/systemd/man/tmpfiles.d>
+        '';
+      };
+    }))));
+  };
+
+  # generates a single entry for a tmpfiles.d rule
+  settingsEntryToRule = path: entry: ''
+    '${entry.type}' '${path}' '${entry.mode}' '${entry.user}' '${entry.group}' '${entry.age}' ${entry.argument}
+  '';
+
+  # generates a list of tmpfiles.d rules from the attrs (paths) under tmpfiles.settings.<name>
+  pathsToRules = mapAttrsToList (path: types:
+    concatStrings (
+      mapAttrsToList (_type: settingsEntryToRule path) types
+    )
+  );
+
+  mkRuleFileContent = paths: concatStrings (pathsToRules paths);
 in
 {
   options = {
@@ -20,101 +131,16 @@ in
       '';
     };
 
-    systemd.tmpfiles.settings = mkOption {
+    systemd.tmpfiles.settings = mkOption settingsOption;
+
+    boot.initrd.systemd.tmpfiles.settings = mkOption (settingsOption // {
       description = ''
-        Declare systemd-tmpfiles rules to create, delete, and clean up volatile
-        and temporary files and directories.
+        Similar to {option}`systemd.tmpfiles.settings` but the rules are
+        only applied by systemd-tmpfiles before `initrd-switch-root.target`.
 
-        Even though the service is called `*tmp*files` you can also create
-        persistent files.
+        See {manpage}`bootup(7)`.
       '';
-      example = {
-        "10-mypackage" = {
-          "/var/lib/my-service/statefolder".d = {
-            mode = "0755";
-            user = "root";
-            group = "root";
-          };
-        };
-      };
-      default = {};
-      type = types.attrsOf (types.attrsOf (types.attrsOf (types.submodule ({ name, config, ... }: {
-        options.type = mkOption {
-          type = types.str;
-          default = name;
-          example = "d";
-          description = ''
-            The type of operation to perform on the file.
-
-            The type consists of a single letter and optionally one or more
-            modifier characters.
-
-            Please see the upstream documentation for the available types and
-            more details:
-            <https://www.freedesktop.org/software/systemd/man/tmpfiles.d>
-          '';
-        };
-        options.mode = mkOption {
-          type = types.str;
-          default = "-";
-          example = "0755";
-          description = ''
-            The file access mode to use when creating this file or directory.
-          '';
-        };
-        options.user = mkOption {
-          type = types.str;
-          default = "-";
-          example = "root";
-          description = ''
-            The user of the file.
-
-            This may either be a numeric ID or a user/group name.
-
-            If omitted or when set to `"-"`, the user and group of the user who
-            invokes systemd-tmpfiles is used.
-          '';
-        };
-        options.group = mkOption {
-          type = types.str;
-          default = "-";
-          example = "root";
-          description = ''
-            The group of the file.
-
-            This may either be a numeric ID or a user/group name.
-
-            If omitted or when set to `"-"`, the user and group of the user who
-            invokes systemd-tmpfiles is used.
-          '';
-        };
-        options.age = mkOption {
-          type = types.str;
-          default = "-";
-          example = "10d";
-          description = ''
-            Delete a file when it reaches a certain age.
-
-            If a file or directory is older than the current time minus the age
-            field, it is deleted.
-
-            If set to `"-"` no automatic clean-up is done.
-          '';
-        };
-        options.argument = mkOption {
-          type = types.str;
-          default = "";
-          example = "";
-          description = ''
-            An argument whose meaning depends on the type of operation.
-
-            Please see the upstream documentation for the meaning of this
-            parameter in different situations:
-            <https://www.freedesktop.org/software/systemd/man/tmpfiles.d>
-          '';
-        };
-      }))));
-    };
+    });
 
     systemd.tmpfiles.packages = mkOption {
       type = types.listOf types.package;
@@ -140,8 +166,9 @@ in
     systemd.additionalUpstreamSystemUnits = [
       "systemd-tmpfiles-clean.service"
       "systemd-tmpfiles-clean.timer"
-      "systemd-tmpfiles-setup.service"
+      "systemd-tmpfiles-setup-dev-early.service"
       "systemd-tmpfiles-setup-dev.service"
+      "systemd-tmpfiles-setup.service"
     ];
 
     systemd.additionalUpstreamUserUnits = [
@@ -236,11 +263,7 @@ in
         '';
       })
     ] ++ (mapAttrsToList (name: paths:
-      pkgs.writeTextDir "lib/tmpfiles.d/${name}.conf" (concatStrings (mapAttrsToList (path: types:
-        concatStrings (mapAttrsToList (_type: entry: ''
-          '${entry.type}' '${path}' '${entry.mode}' '${entry.user}' '${entry.group}' '${entry.age}' ${entry.argument}
-        '') types)
-      ) paths ))
+      pkgs.writeTextDir "lib/tmpfiles.d/${name}.conf" (mkRuleFileContent paths)
     ) cfg.settings);
 
     systemd.tmpfiles.rules = [
@@ -256,5 +279,62 @@ in
       "R! /nix/var/nix/gcroots/tmp           -    -    -    - -"
       "R! /nix/var/nix/temproots             -    -    -    - -"
     ];
+
+    boot.initrd.systemd = {
+      additionalUpstreamUnits = [
+        "systemd-tmpfiles-setup-dev-early.service"
+        "systemd-tmpfiles-setup-dev.service"
+        "systemd-tmpfiles-setup.service"
+      ];
+
+      # override to exclude the prefix /sysroot, because it is not necessarily set up when the unit starts
+      services.systemd-tmpfiles-setup.serviceConfig = {
+        ExecStart = [
+          ""
+          "systemd-tmpfiles --create --remove --boot --exclude-prefix=/dev --exclude-prefix=/sysroot"
+        ];
+      };
+
+      # sets up files under the prefix /sysroot, after the hierarchy is available and before nixos activation
+      services.systemd-tmpfiles-setup-sysroot = {
+        description = "Create Volatile Files and Directories in the Real Root";
+        after = [ "initrd-fs.target" ];
+        before = [
+          "initrd-nixos-activation.service"
+          "shutdown.target" "initrd-switch-root.target"
+        ];
+        conflicts = [ "shutdown.target" "initrd-switch-root.target" ];
+        wantedBy = [ "initrd.target" ];
+        serviceConfig = {
+          Type = "oneshot";
+          RemainAfterExit = true;
+          ExecStart = "systemd-tmpfiles --create --remove --boot --exclude-prefix=/dev --prefix=/sysroot";
+          SuccessExitStatus = [ "DATAERR CANTCREAT" ];
+          ImportCredential = [
+            "tmpfiles.*"
+            "login.motd"
+            "login.issue"
+            "network.hosts"
+            "ssh.authorized_keys.root"
+          ];
+        };
+        unitConfig = {
+          DefaultDependencies = false;
+          RefuseManualStop = true;
+        };
+
+      };
+
+      contents."/etc/tmpfiles.d" = mkIf (initrdCfg.settings != { }) {
+        source = pkgs.linkFarm "initrd-tmpfiles.d" (
+          mapAttrsToList
+            (name: paths: {
+              name = "${name}.conf";
+              path = pkgs.writeText "${name}.conf" (mkRuleFileContent paths);
+            }
+            )
+            initrdCfg.settings);
+      };
+    };
   };
 }