diff --git a/spec/generate_empty_ruby_project_spec.rb b/spec/generate_empty_ruby_project_spec.rb
index c4bf933..63000e4 100644
--- a/spec/generate_empty_ruby_project_spec.rb
+++ b/spec/generate_empty_ruby_project_spec.rb
@@ -22,6 +22,14 @@
     expect(result["spec/spec_helper.rb"]).to include('require_relative "../boot/finish"')
   end
 
+  it "uses the generated project library path in the README" do
+    expect(outcome).to be_success
+
+    expect(result["README.md"]).to include(
+      "lib/name_space1_name_space1/name_space3_name_space4.rb"
+    )
+  end
+
   context "with all options" do
     let(:homepage_url) { "https://example.com" }
     let(:license) { "MIT" }
diff --git a/templates/README.md.erb b/templates/README.md.erb
index 3840260..6e464e5 100644
--- a/templates/README.md.erb
+++ b/templates/README.md.erb
@@ -3,7 +3,7 @@
 TODO: Delete this and the text below, and describe your gem
 
 Welcome to your new gem! In this directory, you'll find the files you need to be able to package up your Ruby library
-into a gem. Put your Ruby code in the file `lib/foobara/empty_ruby_project_generator`. To experiment with that code,
+into a gem. Put your Ruby code in the file `lib/<%= org_slash_project_underscore %>.rb`. To experiment with that code,
 run `bin/console` for an interactive prompt.