A method and system for packet tracing is described. In one embodiment, a method includes selecting a packet for tracing through a cluster of a plurality of nodes. The method includes preparing the packet for tracing by generating a cluster-wide unique ID, associating the unique ID with the packet, generating a running counter, and associating the counter with the packet. The method includes generating a first record buffer on a first node of the plurality of nodes and recording the unique ID and an initial value of the counter. The method includes recording a description of an operation performed on the packet in the first record buffer along with a value of the counter. The method also includes transferring the packet to a second node, along with the unique ID, the value of the running counter, and an attribute that indicates that the packet is to be traced.