diff --git a/src/vs/workbench/contrib/terminal/browser/terminalInstance.ts b/src/vs/workbench/contrib/terminal/browser/terminalInstance.ts
index 6ae79f427072075961545e07d425d8b8584332ec..fd5ab501ec9757a8d8c89574ee3964e549c75b78 100644
--- a/src/vs/workbench/contrib/terminal/browser/terminalInstance.ts
+++ b/src/vs/workbench/contrib/terminal/browser/terminalInstance.ts
@@ -421,7 +421,7 @@ export class TerminalInstance extends Disposable implements ITerminalInstance {
 		const bottom = parseInt(wrapperElementStyle.bottom!.split('px')[0], 10);
 
 		const innerWidth = width - marginLeft - marginRight;
-		const innerHeight = height - bottom;
+		const innerHeight = height - bottom - 1;
 
 		TerminalInstance._lastKnownCanvasDimensions = new dom.Dimension(innerWidth, innerHeight);
 		return TerminalInstance._lastKnownCanvasDimensions;