diff --git a/README.rst b/README.rst
index bc7441197..9cb92eadd 100644
--- a/README.rst
+++ b/README.rst
@@ -252,6 +252,20 @@ Usage::
       B702  use_of_mako_templates
       B703  django_mark_safe
 
+Baseline
+--------
+Bandit allows specifying the path of a baseline report to compare against using the base line argument (i.e. ``-b BASELINE`` or ``--baseline BASELINE``). 
+
+::
+  
+   bandit -b BASELINE
+
+This is useful for ignoring known vulnerabilities that you believe are non-issues (e.g. a cleartext password in a unit test). To generate a baseline report simply run Bandit with the output format set to ``json`` (only JSON-formatted files are accepted as a baseline) an output file path specified:
+
+::
+
+    bandit -f json -o PATH_TO_OUTPUT_FILE
+
 
 Version control integration
 ---------------------------