diff --git a/README.md b/README.md
index 913633fd8f..5ce99ad5e6 100644
--- a/README.md
+++ b/README.md
@@ -181,15 +181,15 @@ Read [📽 the slides](http://slides.com/davidkhourshid/finite-state-machines) (
 
 ## Packages
 
-| Package                                                                                       | Description                                                                  |
-| --------------------------------------------------------------------------------------------- | ---------------------------------------------------------------------------- |
-| 🤖 `xstate`                                                                                   | Core finite state machine and statecharts library + interpreter              |
-| [📉 `@xstate/graph`](https://github.com/statelyai/xstate/tree/main/packages/xstate-graph)     | Graph traversal and model-based testing utilities using XState               |
-| [⚛️ `@xstate/react`](https://github.com/statelyai/xstate/tree/main/packages/xstate-react)     | React hooks and utilities for using XState in React applications             |
-| [💚 `@xstate/vue`](https://github.com/statelyai/xstate/tree/main/packages/xstate-vue)         | Vue composition functions and utilities for using XState in Vue applications |
-| [🎷 `@xstate/svelte`](https://github.com/statelyai/xstate/tree/main/packages/xstate-svelte)   | Svelte utilities for using XState in Svelte applications                     |
-| [🥏 `@xstate/solid`](https://github.com/statelyai/xstate/tree/main/packages/xstate-solid)     | Solid hooks and utilities for using XState in Solid applications             |
-| [🔍 `@statelyai/inspect`](https://github.com/statelyai/inspect) | Inspection utilities for XState                                              |
+| Package                                                                                     | Description                                                                  |
+| ------------------------------------------------------------------------------------------- | ---------------------------------------------------------------------------- |
+| 🤖 `xstate`                                                                                 | Core finite state machine and statecharts library + interpreter              |
+| [📉 `@xstate/graph`](https://github.com/statelyai/xstate/tree/main/packages/xstate-graph)   | Graph traversal and model-based testing utilities using XState               |
+| [⚛️ `@xstate/react`](https://github.com/statelyai/xstate/tree/main/packages/xstate-react)   | React hooks and utilities for using XState in React applications             |
+| [💚 `@xstate/vue`](https://github.com/statelyai/xstate/tree/main/packages/xstate-vue)       | Vue composition functions and utilities for using XState in Vue applications |
+| [🎷 `@xstate/svelte`](https://github.com/statelyai/xstate/tree/main/packages/xstate-svelte) | Svelte utilities for using XState in Svelte applications                     |
+| [🥏 `@xstate/solid`](https://github.com/statelyai/xstate/tree/main/packages/xstate-solid)   | Solid hooks and utilities for using XState in Solid applications             |
+| [🔍 `@statelyai/inspect`](https://github.com/statelyai/inspect)                             | Inspection utilities for XState                                              |
 
 ## Finite State Machines
 
diff --git a/packages/xstate-react/src/useActor.ts b/packages/xstate-react/src/useActor.ts
index 277438658b..e73241bd9b 100644
--- a/packages/xstate-react/src/useActor.ts
+++ b/packages/xstate-react/src/useActor.ts
@@ -5,6 +5,7 @@ import {
   Actor,
   ActorOptions,
   AnyActorLogic,
+  Snapshot,
   SnapshotFrom,
   type ConditionalRequired,
   type IsNotNever,
@@ -43,7 +44,10 @@ export function useActor<TLogic extends AnyActorLogic>(
 
   const subscribe = useCallback(
     (handleStoreChange: () => void) => {
-      const { unsubscribe } = actorRef.subscribe(handleStoreChange);
+      const { unsubscribe } = actorRef.subscribe(
+        handleStoreChange,
+        handleStoreChange
+      );
       return unsubscribe;
     },
     [actorRef]
@@ -55,6 +59,10 @@ export function useActor<TLogic extends AnyActorLogic>(
     getSnapshot
   );
 
+  if ((actorSnapshot as Snapshot<any>).status === 'error') {
+    throw (actorSnapshot as Snapshot<any>).error;
+  }
+
   useEffect(() => {
     actorRef.start();
 
diff --git a/packages/xstate-react/src/useActorRef.ts b/packages/xstate-react/src/useActorRef.ts
index 10a5d03873..d4b2abcb2c 100644
--- a/packages/xstate-react/src/useActorRef.ts
+++ b/packages/xstate-react/src/useActorRef.ts
@@ -6,6 +6,7 @@ import {
   AnyActorLogic,
   AnyStateMachine,
   Observer,
+  Snapshot,
   SnapshotFrom,
   createActor,
   toObserver,
@@ -52,6 +53,8 @@ export function useIdleActorRef<TLogic extends AnyActorLogic>(
   return actorRef;
 }
 
+const UNIQUE = {};
+
 export function useActorRef<TLogic extends AnyActorLogic>(
   machine: TLogic,
   ...[options, observerOrListener]: IsNotNever<
@@ -73,12 +76,23 @@ export function useActorRef<TLogic extends AnyActorLogic>(
       ]
 ): Actor<TLogic> {
   const actorRef = useIdleActorRef(machine, options);
+  const [reactError, setReactError] = useState(() => {
+    const initialSnapshot: Snapshot<any> = actorRef.getSnapshot();
+    return initialSnapshot.status === 'error' ? initialSnapshot.error : UNIQUE;
+  });
+
+  if (reactError !== UNIQUE) {
+    throw reactError;
+  }
 
   useEffect(() => {
-    if (!observerOrListener) {
-      return;
-    }
-    let sub = actorRef.subscribe(toObserver(observerOrListener));
+    const observer = toObserver(observerOrListener);
+    const errorListener = observer.error;
+    observer.error = (error) => {
+      setReactError(error);
+      errorListener?.(error);
+    };
+    let sub = actorRef.subscribe(observer);
     return () => {
       sub.unsubscribe();
     };
diff --git a/packages/xstate-react/src/useSelector.ts b/packages/xstate-react/src/useSelector.ts
index da73946f65..2ebcbbf52f 100644
--- a/packages/xstate-react/src/useSelector.ts
+++ b/packages/xstate-react/src/useSelector.ts
@@ -1,6 +1,6 @@
 import { useCallback } from 'react';
 import { useSyncExternalStoreWithSelector } from 'use-sync-external-store/shim/with-selector';
-import { AnyActorRef, SnapshotFrom } from 'xstate';
+import { AnyActorRef, Snapshot, SnapshotFrom } from 'xstate';
 
 type SyncExternalStoreSubscribe = Parameters<
   typeof useSyncExternalStoreWithSelector
@@ -27,19 +27,31 @@ export function useSelector<
       if (!actor) {
         return () => {};
       }
-      const { unsubscribe } = actor.subscribe(handleStoreChange);
+      const { unsubscribe } = actor.subscribe(
+        handleStoreChange,
+        handleStoreChange
+      );
       return unsubscribe;
     },
     [actor]
   );
 
   const boundGetSnapshot = useCallback(() => actor?.getSnapshot(), [actor]);
+  const boundSelector: typeof selector = useCallback(
+    (snapshot: Snapshot<any> | undefined) => {
+      if (snapshot?.status === 'error') {
+        throw snapshot.error;
+      }
+      return selector(snapshot as never);
+    },
+    [selector]
+  );
 
   const selectedSnapshot = useSyncExternalStoreWithSelector(
     subscribe,
     boundGetSnapshot,
     boundGetSnapshot,
-    selector,
+    boundSelector,
     compare
   );