diff --git a/app/assets/javascripts/discourse/models/category.js b/app/assets/javascripts/discourse/models/category.js
index b0382abd73b..b78421bd501 100644
--- a/app/assets/javascripts/discourse/models/category.js
+++ b/app/assets/javascripts/discourse/models/category.js
@@ -10,9 +10,11 @@ Discourse.Category = Discourse.Model.extend({
 
   init: function() {
     this._super();
-    this.set("availableGroups", Em.A(this.get("available_groups")));
+    var availableGroups = Em.A(this.get("available_groups"));
 
+    this.set("availableGroups", availableGroups);
     this.set("permissions", Em.A(_.map(this.group_permissions, function(elem){
+      availableGroups.removeObject(elem.group_name);
       return {
                 group_name: elem.group_name,
                 permission: Discourse.PermissionType.create({id: elem.permission_type})
@@ -70,7 +72,8 @@ Discourse.Category = Discourse.Model.extend({
         email_in_allow_strangers: this.get('email_in_allow_strangers'),
         parent_category_id: this.get('parent_category_id'),
         logo_url: this.get('logo_url'),
-        background_url: this.get('background_url')
+        background_url: this.get('background_url'),
+        allow_badges: this.get('allow_badges')
       },
       type: this.get('id') ? 'PUT' : 'POST'
     });
diff --git a/app/assets/javascripts/discourse/routes/discovery_categories_route.js b/app/assets/javascripts/discourse/routes/discovery_categories_route.js
index 2910439c463..1c7ae9331e8 100644
--- a/app/assets/javascripts/discourse/routes/discovery_categories_route.js
+++ b/app/assets/javascripts/discourse/routes/discovery_categories_route.js
@@ -44,7 +44,8 @@ Discourse.DiscoveryCategoriesRoute = Discourse.Route.extend(Discourse.OpenCompos
     createCategory: function() {
       Discourse.Route.showModal(this, 'editCategory', Discourse.Category.create({
         color: 'AB9364', text_color: 'FFFFFF', group_permissions: [{group_name: 'everyone', permission_type: 1}],
-        available_groups: Discourse.Site.current().group_names
+        available_groups: Discourse.Site.current().group_names,
+        allow_badges: true
       }));
       this.controllerFor('editCategory').set('selectedTab', 'general');
     },
diff --git a/app/assets/javascripts/discourse/templates/modal/edit-category-settings.js.handlebars b/app/assets/javascripts/discourse/templates/modal/edit-category-settings.js.handlebars
index 5a146bd4274..8162cb6a483 100644
--- a/app/assets/javascripts/discourse/templates/modal/edit-category-settings.js.handlebars
+++ b/app/assets/javascripts/discourse/templates/modal/edit-category-settings.js.handlebars
@@ -9,6 +9,15 @@
   </div>
 </section>
 
+<section class='field'>
+  <div class="allow-badges">
+    <div>
+      {{input type="checkbox" checked=allow_badges}}
+      {{i18n category.allow_badges_label}}
+    </div>
+  </div>
+</section>
+
 {{#if emailInEnabled}}
   <section class='field'>
     <div class="email-in-fields">
diff --git a/app/controllers/categories_controller.rb b/app/controllers/categories_controller.rb
index cd973a7cbc0..7ed61c7c16e 100644
--- a/app/controllers/categories_controller.rb
+++ b/app/controllers/categories_controller.rb
@@ -119,7 +119,16 @@ class CategoriesController < ApplicationController
           end
         end
 
-        params.permit(*required_param_keys, :position, :email_in, :email_in_allow_strangers, :parent_category_id, :auto_close_hours, :logo_url, :background_url, :permissions => [*p.try(:keys)])
+        params.permit(*required_param_keys,
+                        :position,
+                        :email_in,
+                        :email_in_allow_strangers,
+                        :parent_category_id,
+                        :auto_close_hours,
+                        :logo_url,
+                        :background_url,
+                        :allow_badges,
+                        :permissions => [*p.try(:keys)])
       end
     end
 
diff --git a/app/models/site.rb b/app/models/site.rb
index c9516f7ffa2..752f5124f37 100644
--- a/app/models/site.rb
+++ b/app/models/site.rb
@@ -30,7 +30,7 @@ class Site
   end
 
   def group_names
-    @group_name ||= Group.pluck(:name)
+    @group_name ||= Group.order(:name).pluck(:name)
   end
 
   def categories
diff --git a/app/serializers/category_serializer.rb b/app/serializers/category_serializer.rb
index 4ed3e552a70..b270aec94a7 100644
--- a/app/serializers/category_serializer.rb
+++ b/app/serializers/category_serializer.rb
@@ -7,7 +7,8 @@ class CategorySerializer < BasicCategorySerializer
              :position,
              :email_in,
              :email_in_allow_strangers,
-             :can_delete
+             :can_delete,
+             :allow_badges
 
   def group_permissions
     @group_permissions ||= begin
diff --git a/config/locales/client.en.yml b/config/locales/client.en.yml
index 7cf00fd293b..52681f04e58 100644
--- a/config/locales/client.en.yml
+++ b/config/locales/client.en.yml
@@ -1185,6 +1185,7 @@ en:
       auto_close_units: "hours"
       email_in: "Custom incoming email address:"
       email_in_allow_strangers: "Accept emails from anonymous users with no accounts"
+      allow_badges_label: "Allow badges"
       edit_permissions: "Edit Permissions"
       add_permission: "Add Permission"
       this_year: "this year"