A method and system is disclosed for enhanced setpoint adjustment during extended frame decoding. In accordance with an example embodiment, upon determining that a frame transmission from an access terminal has not been successfully decoded during a nominal frame period, a base station will commence an extended decoding interval. The base station will also determine a transition point time that is within a range of times from the beginning to the end of the extended frame decoding interval. The determination of the transition point time will be based on the nominal setpoint in place during the preceding nominal frame period. Upon reaching the transition point time, the base station will increase the current (nominal) setpoint. Accordingly, the setpoint for the access terminal may be increased at a point in time that precedes the completion of the extended decoding interval.