A reciprocating saw includes a housing, a motor positioned within the housing and configured to drive a reciprocating saw blade, and a shoe coupled to the housing. The shoe is configured to engage a workpiece. The reciprocating saw also includes a proximity sensor configured to detect the workpiece when engaged with the shoe. The proximity sensor is positioned on a forward end of the housing in a facing relation with the workpiece. In response to the proximity sensor detecting formation of a gap between the shoe and the workpiece, the proximity sensor is operable to deactivate the motor.