diff --git a/core/level_game_state.gd b/core/level_game_state.gd
index a1d918d..941435a 100644
--- a/core/level_game_state.gd
+++ b/core/level_game_state.gd
@@ -550,14 +550,19 @@ func reset_for_prestige(reset_total_currency: bool = false, emit_currency_signal
 		if reset_total_currency:
 			_set_total_currency(currency_id, BigNumber.from_float(0.0))
 
-		generator_states.clear()
-		generator_buff_levels.clear()
-		generator_buff_unlocked.clear()
-		_goal_completed.clear()
-		for goal_id in _goal_completed.keys():
-			_goal_completed[goal_id] = false
-		research_xp.clear()
-		research_levels.clear()
+	generator_states.clear()
+	generator_buff_levels.clear()
+	generator_buff_unlocked.clear()
+	
+	for goal_id in _goal_definitions.keys():
+		_goal_completed[goal_id] = false
+	
+	var research_ids: Array = research_xp.keys()
+	research_xp.clear()
+	research_levels.clear()
+	
+	for research_id in research_ids:
+		research_xp_changed.emit(research_id, BigNumber.from_float(0.0))
 
 	if not emit_currency_signals:
 		return
diff --git a/core/prestige/prestige_manager.gd b/core/prestige/prestige_manager.gd
index ef3457b..fba756a 100644
--- a/core/prestige/prestige_manager.gd
+++ b/core/prestige/prestige_manager.gd
@@ -182,7 +182,7 @@ func perform_prestige() -> bool:
 		var prestige_currency_id: StringName = get_prestige_currency_id()
 		if prestige_currency_id != &"":
 			preserve_currencies.append(prestige_currency_id)
-		game_state.reset_for_prestige(false, false, preserve_currencies)
+		game_state.reset_for_prestige(true, false, preserve_currencies)
 	_reset_all_buff_levels()
 	_reinitialize_generators_after_prestige_reset()
 	if game_state:
diff --git a/tests/test_goals_prestige_reset.gd b/tests/test_goals_prestige_reset.gd
new file mode 100644
index 0000000..75a7d64
--- /dev/null
+++ b/tests/test_goals_prestige_reset.gd
@@ -0,0 +1,146 @@
+@tool
+extends Node
+
+var _game_root: Node = null
+
+func _ready() -> void:
+	if not Engine.is_editor_hint():
+		test_goals_prestige_reset()
+		get_tree().quit()
+
+func test_goals_prestige_reset() -> void:
+	print("\n=== TEST: Goals Prestige Reset ===\n")
+	TestUtils.set_test_name("goals_prestige_reset")
+	
+	# Load the tiny_sword scene directly
+	var scene = load("res://docs/gyms/tiny_sword/tiny_sword.tscn")
+	_game_root = scene.instantiate()
+	add_child(_game_root)
+	
+	print("[TARGET] children_after_load: %d" % get_child_count())
+	
+	var game_state: LevelGameState = _game_root.find_child("LevelGameState")
+	if game_state == null:
+		print("[ERROR] LevelGameState not found")
+		_print_summary(0, 1)
+		return
+	
+	print("[TARGET] game_state_found: true")
+	
+	var goals: Array[GoalData] = game_state.get_all_goals()
+	if goals.is_empty():
+		print("[ERROR] No goals found in game state")
+		_print_summary(0, 1)
+		return
+	
+	var test_goal: GoalData = goals[0]
+	print("[TARGET] test_goal_id: %s" % String(test_goal.id))
+	
+	var gold: BigNumber = BigNumber.from_float(1000000.0)
+	game_state.add_currency_by_id(&"gold", gold)
+	
+	var is_met_before: bool = game_state.is_goal_met(test_goal)
+	print("[TARGET] goal_met_before_prestige: %s" % str(is_met_before))
+	
+	TestUtils.assert_true(
+		is_met_before,
+		"Goal should be met before prestige (with high currency)"
+	)
+	
+	var is_completed_before: bool = game_state.is_goal_completed(test_goal.id)
+	print("[TARGET] goal_completed_before_prestige: %s" % str(is_completed_before))
+	
+	game_state.reset_for_prestige(true, true, [])
+	
+	var is_completed_after_reset: bool = game_state.is_goal_completed(test_goal.id)
+	print("[TARGET] goal_completed_after_prestige: %s" % str(is_completed_after_reset))
+	
+	TestUtils.assert_true(
+		not is_completed_after_reset,
+		"Goal should NOT be completed after prestige reset (BUG FIX VERIFICATION)"
+	)
+	
+	var gold_after: BigNumber = game_state.get_currency_amount_by_id(&"gold")
+	print("[TARGET] gold_after_prestige: %s" % gold_after.to_string_suffix(2))
+	
+	TestUtils.assert_equals(
+		0.0,
+		gold_after.mantissa,
+		"Gold should be reset to 0 after prestige"
+	)
+	
+	var total_gold_after: BigNumber = game_state.get_total_currency_acquired_by_id(&"gold")
+	print("[TARGET] total_gold_after_prestige: %s" % total_gold_after.to_string_suffix(2))
+	
+	TestUtils.assert_equals(
+		0.0,
+		total_gold_after.mantissa,
+		"Total gold should be reset to 0 after prestige"
+	)
+	
+	var is_met_after: bool = game_state.is_goal_met(test_goal)
+	print("[TARGET] goal_met_after_prestige: %s" % str(is_met_after))
+	
+	TestUtils.assert_true(
+		not is_met_after,
+		"Goal should NOT be met after prestige (currency reset to 0)"
+	)
+	
+	var gold_for_unlock: BigNumber = BigNumber.from_float(1000000.0)
+	game_state.add_currency_by_id(&"gold", gold_for_unlock)
+	
+	var is_met_again: bool = game_state.is_goal_met(test_goal)
+	print("[TARGET] goal_met_after_reaching_currency: %s" % str(is_met_again))
+	
+	TestUtils.assert_true(
+		is_met_again,
+		"Goal should be met again after adding sufficient currency"
+	)
+	
+	var is_completed_auto: bool = game_state.is_goal_completed(test_goal.id)
+	print("[TARGET] goal_completed_auto_check: %s" % str(is_completed_auto))
+	
+	# This goal has AUTOMATIC unlock behavior, so it should be auto-completed when met
+	if test_goal.unlock_behavior == GoalData.UnlockBehavior.AUTOMATIC:
+		TestUtils.assert_true(
+			is_completed_auto,
+			"Goal with AUTOMATIC unlock should be auto-completed when met"
+		)
+	
+# Try manual completion (should be a no-op if already auto-completed)
+	game_state._complete_goal_manually(test_goal.id)
+	
+	var is_completed: bool = game_state.is_goal_completed(test_goal.id)
+	print("[TARGET] goal_completed_after_attempt: %s" % str(is_completed))
+	
+	TestUtils.assert_true(
+		is_completed,
+		"Goal should be completed (either auto or manual)"
+	)
+	
+	game_state.reset_for_prestige(true, true, [])
+	
+	var is_completed_after_second_prestige: bool = game_state.is_goal_completed(test_goal.id)
+	print("[TARGET] goal_completed_after_second_prestige: %s" % str(is_completed_after_second_prestige))
+	
+	TestUtils.assert_true(
+		not is_completed_after_second_prestige,
+		"Goal should NOT be completed after second prestige reset"
+	)
+	
+	var is_met_final: bool = game_state.is_goal_met(test_goal)
+	print("[TARGET] goal_met_final: %s" % str(is_met_final))
+	
+	TestUtils.assert_true(
+		not is_met_final,
+		"Goal should NOT be met after second prestige reset"
+	)
+	
+	_print_summary(TestUtils.get_passed(), TestUtils.get_failed())
+
+func _print_summary(passed_count: int, failed_count: int) -> void:
+	TestUtils.print_result()
+	if failed_count == 0:
+		print("[RESULT] PASS")
+	else:
+		print("[RESULT] FAIL")
diff --git a/tests/test_goals_prestige_reset.gd.uid b/tests/test_goals_prestige_reset.gd.uid
new file mode 100644
index 0000000..88880be
--- /dev/null
+++ b/tests/test_goals_prestige_reset.gd.uid
@@ -0,0 +1 @@
+uid://d23axeulmeeih
diff --git a/tests/test_goals_prestige_reset.tscn b/tests/test_goals_prestige_reset.tscn
new file mode 100644
index 0000000..d604b14
--- /dev/null
+++ b/tests/test_goals_prestige_reset.tscn
@@ -0,0 +1,6 @@
+[gd_scene format=3 uid="uid://test_goals_prestige_reset"]
+
+[ext_resource type="Script" path="res://tests/test_goals_prestige_reset.gd" id="1_test"]
+
+[node name="TestRoot" type="Node"]
+script = ExtResource("1_test")
diff --git a/tests/test_research_prestige_reset.gd b/tests/test_research_prestige_reset.gd
new file mode 100644
index 0000000..63a6e4a
--- /dev/null
+++ b/tests/test_research_prestige_reset.gd
@@ -0,0 +1,128 @@
+extends SceneTree
+
+var passed: int = 0
+var failed: int = 0
+var _game_root: Node = null
+var _test_complete: bool = false
+
+func _init():
+	print("\n=== TEST: Research Level and XP Reset After Prestige ===\n")
+	TestUtils.set_test_name("research_prestige_reset")
+	
+	var scene = load("res://docs/gyms/tiny_sword/tiny_sword.tscn")
+	change_scene_to_packed(scene)
+	
+	await _wait()
+	
+	_game_root = root.get_child(0)
+	
+	var game_state: LevelGameState = _game_root.find_child("LevelGameState")
+	var prestige_manager = _game_root.find_child("PrestigeManager") as PrestigeManager
+	
+	if game_state == null:
+		print("[ERROR] LevelGameState not found")
+		_print_summary()
+		_test_complete = true
+		quit(1)
+		return
+	
+	if prestige_manager == null:
+		print("[ERROR] PrestigeManager not found")
+		_print_summary()
+		_test_complete = true
+		quit(1)
+		return
+	
+	var research_id: StringName = &"gold_research"
+	
+	var initial_xp: BigNumber = game_state.get_research_xp(research_id)
+	var initial_level: int = game_state.get_research_level(research_id)
+	print("[TARGET] initial_research_xp: mantissa=%s, exponent=%s" % [initial_xp.mantissa, initial_xp.exponent])
+	print("[TARGET] initial_research_level: %d" % initial_level)
+	
+	TestUtils.assert_equals(
+		0,
+		initial_xp.mantissa,
+		"Initial research XP should be 0"
+	)
+	
+	TestUtils.assert_equals(
+		0,
+		initial_level,
+		"Initial research level should be 0"
+	)
+	
+	game_state.add_currency_by_id(&"gold", BigNumber.from_float(100000.0))
+	game_state.add_currency_by_id(&"gems", BigNumber.from_float(100.0))
+	
+	await _wait()
+	
+	for i in range(10):
+		game_state.add_research_xp(research_id, BigNumber.from_float(500.0))
+		await _wait(0.05)
+	
+	var pre_prestige_xp: BigNumber = game_state.get_research_xp(research_id)
+	var pre_prestige_level: int = game_state.get_research_level(research_id)
+	print("[TARGET] pre_prestige_research_xp: mantissa=%s, exponent=%s" % [pre_prestige_xp.mantissa, pre_prestige_xp.exponent])
+	print("[TARGET] pre_prestige_research_level: %d" % pre_prestige_level)
+	
+	TestUtils.assert_true(
+		pre_prestige_xp.mantissa > 0,
+		"Research XP should be > 0 before prestige"
+	)
+	
+	TestUtils.assert_true(
+		pre_prestige_level > 0,
+		"Research level should be > 0 before prestige"
+	)
+	
+	var can_prestige: bool = prestige_manager.can_prestige()
+	print("[TARGET] can_prestige: %s" % str(can_prestige))
+	
+	TestUtils.assert_true(
+		can_prestige,
+		"Should be able to prestige after accumulating currencies"
+	)
+	
+	if can_prestige:
+		prestige_manager.perform_prestige()
+		
+		await _wait()
+	
+	var post_prestige_xp: BigNumber = game_state.get_research_xp(research_id)
+	var post_prestige_level: int = game_state.get_research_level(research_id)
+	print("[TARGET] post_prestige_research_xp: mantissa=%s, exponent=%s" % [post_prestige_xp.mantissa, post_prestige_xp.exponent])
+	print("[TARGET] post_prestige_research_level: %d" % post_prestige_level)
+	
+	TestUtils.assert_equals(
+		0,
+		post_prestige_xp.mantissa,
+		"Research XP should be reset to 0 after prestige"
+	)
+	
+	TestUtils.assert_equals(
+		0,
+		post_prestige_level,
+		"Research level should be reset to 0 after prestige"
+	)
+	
+	_print_summary()
+	_test_complete = true
+	if failed == 0:
+		quit(0)
+	else:
+		quit(1)
+
+func _wait(seconds: float = 0.1) -> void:
+	await create_timer(seconds).timeout
+
+func _print_summary():
+	TestUtils.print_result()
+	passed = TestUtils.get_passed()
+	failed = TestUtils.get_failed()
+
+func get_passed() -> int:
+	return passed
+
+func get_failed() -> int:
+	return failed
diff --git a/tests/test_research_prestige_reset.gd.uid b/tests/test_research_prestige_reset.gd.uid
new file mode 100644
index 0000000..467ed3e
--- /dev/null
+++ b/tests/test_research_prestige_reset.gd.uid
@@ -0,0 +1 @@
+uid://j2a4c8w1qrgj