diff --git a/.gitignore b/.gitignore
index 53f7466..dea8f96 100644
--- a/.gitignore
+++ b/.gitignore
@@ -2,4 +2,5 @@ node_modules
 .DS_Store
 dist
 dist-ssr
-*.local
\ No newline at end of file
+*.local
+.test/
\ No newline at end of file
diff --git a/src/benchmark.test.js b/src/benchmark.test.js
new file mode 100644
index 0000000..905cee9
--- /dev/null
+++ b/src/benchmark.test.js
@@ -0,0 +1,82 @@
+const prettier = require('prettier')
+const diff = require('jest-diff').default
+const postcss = require('postcss')
+const tailwind = require('./index.js')
+const fs = require('fs/promises')
+const path = require('path')
+const _ = require('lodash')
+
+function run(input, config = {}) {
+  return postcss([tailwind(config)]).process(input, { from: undefined })
+}
+
+/**
+ *
+ * @param {number} count
+ */
+async function createTestFiles(count) {
+  const ns = Math.random().toString(16).substr(2, 8)
+  const testDir = path.normalize(path.join(__dirname, `/../.test/${ns}`))
+
+  const utilities = (() => {
+    const prefixes = _.shuffle(["", "sm:", "hover:", "active:"])
+    const types = _.shuffle(["h-", "mt-", "max-w-", "foobar-"])
+    const suffixes = _.shuffle([_.range(0, 1000), "full", "screen"])
+    const utilities = []
+
+    for (let prefix in prefixes) for (let type in types) for (let suffix in suffixes) {
+      utilities.push(`${prefix}${type}${suffix}`)
+    }
+
+    return utilities
+  })()
+
+  async function createCandidateFile(id) {
+    const content = utilities.slice(
+      Math.floor(Math.random() * utilities.length / 4),
+      Math.floor(Math.random() * utilities.length)
+    ).join("\n")
+
+    await fs.writeFile(path.resolve(testDir, `bench_${id}`), content, "utf-8")
+  }
+
+  await fs.mkdir(testDir, { recursive: true })
+  await Promise.all(_.range(0, count).map(n => createCandidateFile(n)))
+
+  return testDir
+}
+
+async function bench(count, callback) {
+  const start = performance.now()
+
+  for (let i = 0; i < count; i++) {
+    await callback();
+  }
+
+  const end = performance.now()
+
+  return (end-start) / count;
+}
+
+test('bechmark', async () => {
+  const runPerfTest = async (dir) => {
+    const config = { purge: [`${dir}/*.css`] }
+    const content = '@tailwind utilities;'
+
+    try {
+      return await bench(100, () => run(content, config))
+    } finally {
+      await fs.rm(dir, { recursive: true, force: true })
+    }
+  }
+
+  const small = await runPerfTest(await createTestFiles(1e1))
+  const medium = await runPerfTest(await createTestFiles(1e3))
+  const large = await runPerfTest(await createTestFiles(1e4))
+
+  console.log({small, medium, large})
+
+  expect(small).toBeLessThan(20)
+  expect(medium).toBeLessThan(20)
+  expect(large).toBeLessThan(20)
+})
diff --git a/src/index.js b/src/index.js
index 8d512dd..a2c5989 100644
--- a/src/index.js
+++ b/src/index.js
@@ -318,6 +318,9 @@ function cleanupContext(context) {
   if (context.watcher) {
     context.watcher.close()
   }
+  if (context.touchFile) {
+    context.touchFile.removeCallback()
+  }
   contextMap.delete(context.configHash)
   contextSources.delete(context)
 }
@@ -332,6 +335,7 @@ function rebootTemplateWatcher(context) {
     (env.TAILWIND_MODE === undefined && env.NODE_ENV === 'development')
   ) {
     context.touchFile = context.touchFile !== null ? context.touchFile : tmp.fileSync()
+    env.DEBUG && console.log("Touch file path:", context.touchFile)
 
     Promise.resolve(context.watcher ? context.watcher.close() : null).then(() => {
       context.watcher = chokidar.watch(context.candidateFiles, {
@@ -746,6 +750,7 @@ function setupContext(tailwindConfig, configHash, configPath) {
   }
 
   let context = {
+    dependencies: new Set(),
     changedFiles: new Set(),
     utilityRuleCache: new Set(),
     componentRuleCache: new Set(),
@@ -958,7 +963,7 @@ module.exports = (pluginOptions = {}) => {
             // the work of grabbing all of the template files for candidate
             // detection.
             if (!context.scannedContent) {
-              let files = fastGlob.sync(context.candidateFiles)
+              let files = fastGlob.sync(context.candidateFiles, { absolute: true })
               for (let file of files) {
                 context.changedFiles.add(file)
               }
@@ -973,6 +978,8 @@ module.exports = (pluginOptions = {}) => {
 
             env.DEBUG && console.time('Reading changed files')
             for (let file of context.changedFiles) {
+              context.dependencies.add(file)
+
               let content = fs.readFileSync(file, 'utf8')
               getClassCandidates(content, contentMatchCache, candidates, seen)
             }
@@ -1042,6 +1049,7 @@ module.exports = (pluginOptions = {}) => {
 
             if (env.DEBUG) {
               console.log('Changed files: ', context.changedFiles.size)
+              console.log('Dependencies:', context.dependencies.size)
               console.log('Potential classes: ', candidates.size)
               console.log('Active contexts: ', contextMap.size)
               console.log('Active sources:', sourceContextMap.size)
@@ -1051,6 +1059,7 @@ module.exports = (pluginOptions = {}) => {
 
             // Clear the cache for the changed files
             context.changedFiles.clear()
+            context.dependencies.forEach(registerDependency)
           },
           function (root) {
             if (!foundTailwind) {