diff --git a/kernel/shared/src/main/scala/cats/effect/kernel/Resource.scala b/kernel/shared/src/main/scala/cats/effect/kernel/Resource.scala
index b0614eda9f..0114dd687e 100644
--- a/kernel/shared/src/main/scala/cats/effect/kernel/Resource.scala
+++ b/kernel/shared/src/main/scala/cats/effect/kernel/Resource.scala
@@ -29,6 +29,8 @@ import scala.annotation.unchecked.uncheckedVariance
 import scala.concurrent.ExecutionContext
 import scala.concurrent.duration.{Duration, FiniteDuration}
 
+import java.util.concurrent.TimeoutException
+
 /**
  * `Resource` is a data structure which encodes the idea of executing an action which has an
  * associated finalizer that needs to be run when the action completes.
@@ -1496,6 +1498,28 @@ private[effect] trait ResourceTemporal[F[_]]
 
   def sleep(time: FiniteDuration): Resource[F, Unit] =
     Resource.sleep(time)
+
+  // Overridden because the GenTemporal default is implemented in terms of
+  // racePair, whose Resource instance (via start) does not guarantee the
+  // source's finalizers have run by the time use returns (#4489, regressed by
+  // #4059). Resource#race has the correct finalizer semantics (#3226), so we
+  // express the timeout in terms of it instead.
+  override protected def timeoutTo[A](
+      fa: Resource[F, A],
+      duration: FiniteDuration,
+      fallback: Resource[F, A]): Resource[F, A] =
+    fa.race(Resource.sleep[F](duration)).flatMap {
+      case Left(a) => Resource.pure[F, A](a)
+      case Right(()) => fallback
+    }
+
+  override protected def timeout[A](fa: Resource[F, A], duration: FiniteDuration)(
+      implicit ev: TimeoutException <:< Throwable): Resource[F, A] =
+    fa.race(Resource.sleep[F](duration)).flatMap {
+      case Left(a) => Resource.pure[F, A](a)
+      case Right(()) =>
+        Resource.eval(F.raiseError[A](new TimeoutException(duration.toString())))
+    }
 }
 
 abstract private[effect] class ResourceAsync[F[_]]
diff --git a/tests/shared/src/test/scala/cats/effect/ResourceSuite.scala b/tests/shared/src/test/scala/cats/effect/ResourceSuite.scala
index 873c1004c0..0873de067b 100644
--- a/tests/shared/src/test/scala/cats/effect/ResourceSuite.scala
+++ b/tests/shared/src/test/scala/cats/effect/ResourceSuite.scala
@@ -1209,6 +1209,64 @@ class ResourceSuite extends BaseScalaCheckSuite with DisciplineSuite {
     }
   }
 
+  real("ensure a timed out resource runs its onCancel".ignore) {
+    IO.ref(true) flatMap { fired =>
+      Resource
+        .eval(IO.sleep(100.millis).onCancel(fired.set(false)).timeout(100.millis))
+        .use_
+        .attempt
+        .flatMap {
+          case Left(_) => IO.unit
+          case Right(_) =>
+            fired.get.ifM(IO.raiseError(new Exception("didn't run the cancelation")), IO.unit)
+        }
+    }
+  }
+
+  // github.com/typelevel/cats-effect/issues/4489
+  // doesn't show up with the ticker variant
+  real("run finalisers when winning a timeout race (real)") {
+    IO.ref(false).flatMap { ref =>
+      val res = Resource.make(ref.set(true))(_ => ref.set(false))
+      val timedRes = res.timeout(1.hour)
+      val check = timedRes.use_ *>
+        ref.get.ifM(IO.raiseError(new Exception("not released")), IO.unit)
+      check.replicateA_(10000)
+    }
+  }
+
+  ticked("run finalisers when winning a timeout race (ticked)") { implicit ticker =>
+    val go = IO.ref(false).flatMap { ref =>
+      val res = Resource.make(ref.set(true))(_ => ref.set(false))
+      val timedRes = res.timeout(1.hour)
+      timedRes.use_ *>
+        ref.get.ifM(IO.raiseError(new Exception("not released")), IO.unit)
+    }
+    assertCompleteAs(go, ())
+  }
+
+  ticked("run finalisers when losing a timeout race") { implicit ticker =>
+    val go = IO.ref(true).flatMap { ref =>
+      val res = Resource.make(IO.sleep(100.millis))(_ => ref.set(false))
+      val timedRes = res.timeout(1.milli)
+      timedRes.use_.attempt *> IO.sleep(150.millis) *>
+        ref.get.ifM(IO.raiseError(new Exception("not released")), IO.unit)
+    }
+    assertCompleteAs(go, ())
+  }
+
+  // TODO this test is failing, indicating a timing bug with Resource
+  ticked("run nested finalisers when succeeding at the same time as the timeout".ignore) {
+    implicit ticker =>
+      val go = IO.ref(false).flatMap { ref =>
+        val inner = Resource.make(ref.set(true))(_ => ref.set(false))
+        val res = Resource.make(IO.sleep(99.millis).flatMap(_ => inner.use_))(_ => IO.unit)
+        res.timeout(100.millis).use_.attempt *> IO.sleep(150.millis) *>
+          ref.get.ifM(IO.unit, IO.raiseError(new Exception("inner finaliser not run")))
+      }
+      assertCompleteAs(go, ())
+  }
+
   ticked("attempt - releases resource on error") { implicit ticker =>
     assertCompleteAs(
       IO.ref(0)