diff --git a/packer/template.go b/packer/template.go
index 5f05962dc..995d66342 100644
--- a/packer/template.go
+++ b/packer/template.go
@@ -161,6 +161,10 @@ func ParseTemplate(data []byte) (t *Template, err error) {
 			continue
 		}
 
+		// Now that we have the name, remove it from the config - as the builder
+		// itself doesn't know about, and it will cause a validation error.
+		delete(v, "name")
+
 		raw.rawConfig = v
 
 		t.Builders[raw.Name] = raw
diff --git a/packer/template_test.go b/packer/template_test.go
index af7e3e402..32d38222f 100644
--- a/packer/template_test.go
+++ b/packer/template_test.go
@@ -128,6 +128,19 @@ func TestParseTemplate_BuilderWithName(t *testing.T) {
 	builder, ok := result.Builders["bob"]
 	assert.True(ok, "should have bob builder")
 	assert.Equal(builder.Type, "amazon-ebs", "builder should be amazon-ebs")
+
+	rawConfig := builder.rawConfig
+	if rawConfig == nil {
+		t.Fatal("missing builder raw config")
+	}
+
+	expected := map[string]interface{}{
+		"type": "amazon-ebs",
+	}
+
+	if !reflect.DeepEqual(rawConfig, expected) {
+		t.Fatalf("bad raw: %#v", rawConfig)
+	}
 }
 
 func TestParseTemplate_BuilderWithConflictingName(t *testing.T) {