diff --git a/android/src/main/java/com/swmansion/reanimated/keyboard/Keyboard.java b/android/src/main/java/com/swmansion/reanimated/keyboard/Keyboard.java
index 0f8ae78071e..d71bd5f0725 100644
--- a/android/src/main/java/com/swmansion/reanimated/keyboard/Keyboard.java
+++ b/android/src/main/java/com/swmansion/reanimated/keyboard/Keyboard.java
@@ -1,7 +1,5 @@
 package com.swmansion.reanimated.keyboard;
 
-import android.view.KeyCharacterMap;
-import android.view.KeyEvent;
 import androidx.core.view.WindowInsetsCompat;
 import com.facebook.react.uimanager.PixelUtil;
 
@@ -23,9 +21,7 @@ public int getHeight() {
   public void updateHeight(WindowInsetsCompat insets) {
     int contentBottomInset = insets.getInsets(CONTENT_TYPE_MASK).bottom;
     int systemBarBottomInset = insets.getInsets(SYSTEM_BAR_TYPE_MASK).bottom;
-    boolean hasNavigationBar = KeyCharacterMap.deviceHasKey(KeyEvent.KEYCODE_HOME);
-    int keyboardHeightDip =
-        hasNavigationBar ? contentBottomInset - systemBarBottomInset : contentBottomInset;
+    int keyboardHeightDip = contentBottomInset - systemBarBottomInset;
     int keyboardHeight = (int) PixelUtil.toDIPFromPixel(Math.max(0, keyboardHeightDip));
     if (keyboardHeight == 0 && mState == KeyboardState.OPEN) {
       /*
@@ -35,7 +31,7 @@ public void updateHeight(WindowInsetsCompat insets) {
       */
       return;
     }
-    mHeight = (int) PixelUtil.toDIPFromPixel(keyboardHeightDip);
+    mHeight = keyboardHeight;
   }
 
   public void onAnimationStart() {
diff --git a/android/src/main/java/com/swmansion/reanimated/keyboard/WindowsInsetsManager.java b/android/src/main/java/com/swmansion/reanimated/keyboard/WindowsInsetsManager.java
index b7ad125e9c8..d1077547bde 100644
--- a/android/src/main/java/com/swmansion/reanimated/keyboard/WindowsInsetsManager.java
+++ b/android/src/main/java/com/swmansion/reanimated/keyboard/WindowsInsetsManager.java
@@ -1,24 +1,47 @@
 package com.swmansion.reanimated.keyboard;
 
+import android.graphics.Color;
 import android.os.Handler;
 import android.os.Looper;
 import android.view.View;
+import android.view.ViewTreeObserver;
 import android.view.Window;
 import android.widget.FrameLayout;
 import androidx.core.view.ViewCompat;
 import androidx.core.view.WindowCompat;
 import androidx.core.view.WindowInsetsCompat;
 import com.facebook.react.bridge.ReactApplicationContext;
-import com.swmansion.reanimated.BuildConfig;
 import java.lang.ref.WeakReference;
 
 public class WindowsInsetsManager {
 
   private boolean mIsStatusBarTranslucent = false;
+
+  private int statusBarHeight = 0;
+  private int paddingTop = 0;
+
+  private int paddingBottom = 0;
   private final WeakReference<ReactApplicationContext> mReactContext;
   private final Keyboard mKeyboard;
   private final NotifyAboutKeyboardChangeFunction mNotifyAboutKeyboardChange;
 
+  private final ViewTreeObserver.OnDrawListener statusBarChangeListener =
+      new ViewTreeObserver.OnDrawListener() {
+        @Override
+        public void onDraw() {
+          View statusBar = getStatusBarView();
+          int currentStatusBarHeight = statusBar.getHeight();
+          boolean isStatusBarTranslucent = getWindow().getStatusBarColor() == Color.TRANSPARENT;
+
+          if (isStatusBarTranslucent != mIsStatusBarTranslucent
+              || currentStatusBarHeight != statusBarHeight) {
+            mIsStatusBarTranslucent = isStatusBarTranslucent;
+            statusBarHeight = currentStatusBarHeight;
+            updateInsets(paddingTop, paddingBottom);
+          }
+        }
+      };
+
   public WindowsInsetsManager(
       WeakReference<ReactApplicationContext> reactContext,
       Keyboard keyboard,
@@ -36,10 +59,16 @@ private View getRootView() {
     return getWindow().getDecorView();
   }
 
+  private View getStatusBarView() {
+    return getWindow().findViewById(android.R.id.statusBarBackground);
+  }
+
   public void startObservingChanges(
       KeyboardAnimationCallback keyboardAnimationCallback, boolean isStatusBarTranslucent) {
     mIsStatusBarTranslucent = isStatusBarTranslucent;
     updateWindowDecor(false);
+
+    getStatusBarView().getViewTreeObserver().addOnDrawListener(statusBarChangeListener);
     ViewCompat.setOnApplyWindowInsetsListener(getRootView(), this::onApplyWindowInsetsListener);
     ViewCompat.setWindowInsetsAnimationCallback(getRootView(), keyboardAnimationCallback);
   }
@@ -47,9 +76,10 @@ public void startObservingChanges(
   public void stopObservingChanges() {
     updateWindowDecor(!mIsStatusBarTranslucent);
     updateInsets(0, 0);
-    View rootView = getRootView();
-    ViewCompat.setWindowInsetsAnimationCallback(rootView, null);
-    ViewCompat.setOnApplyWindowInsetsListener(rootView, null);
+
+    getStatusBarView().getViewTreeObserver().removeOnDrawListener(statusBarChangeListener);
+    ViewCompat.setWindowInsetsAnimationCallback(getRootView(), null);
+    ViewCompat.setOnApplyWindowInsetsListener(getRootView(), null);
   }
 
   private void updateWindowDecor(boolean decorFitsSystemWindow) {
@@ -58,24 +88,19 @@ private void updateWindowDecor(boolean decorFitsSystemWindow) {
   }
 
   private WindowInsetsCompat onApplyWindowInsetsListener(View view, WindowInsetsCompat insets) {
+    WindowInsetsCompat defaultInsets = ViewCompat.onApplyWindowInsets(view, insets);
     if (mKeyboard.getState() == KeyboardState.OPEN) {
       mKeyboard.updateHeight(insets);
       mNotifyAboutKeyboardChange.call();
     }
-    setWindowInsets(insets);
-    return insets;
+    setWindowInsets(defaultInsets);
+    return defaultInsets;
   }
 
   private void setWindowInsets(WindowInsetsCompat insets) {
-    int paddingBottom = 0;
-    boolean isOldPaperImplementation =
-        !BuildConfig.IS_NEW_ARCHITECTURE_ENABLED && BuildConfig.REACT_NATIVE_MINOR_VERSION < 70;
-    if (isOldPaperImplementation) {
-      int navigationBarTypeMask = WindowInsetsCompat.Type.navigationBars();
-      paddingBottom = insets.getInsets(navigationBarTypeMask).bottom;
-    }
     int systemBarsTypeMask = WindowInsetsCompat.Type.systemBars();
-    int paddingTop = insets.getInsets(systemBarsTypeMask).top;
+    paddingTop = insets.getInsets(systemBarsTypeMask).top;
+    paddingBottom = insets.getInsets(systemBarsTypeMask).bottom;
     updateInsets(paddingTop, paddingBottom);
   }
 
@@ -94,8 +119,8 @@ private FrameLayout.LayoutParams getLayoutParams(int paddingTop, int paddingBott
     int matchParentFlag = FrameLayout.LayoutParams.MATCH_PARENT;
     FrameLayout.LayoutParams params =
         new FrameLayout.LayoutParams(matchParentFlag, matchParentFlag);
-    if (mIsStatusBarTranslucent) {
-      params.setMargins(0, 0, 0, 0);
+    if (mIsStatusBarTranslucent || statusBarHeight == 0) {
+      params.setMargins(0, 0, 0, paddingBottom);
     } else {
       params.setMargins(0, paddingTop, 0, paddingBottom);
     }