diff --git a/python/semantic_kernel/prompt_template/utils/template_function_helpers.py b/python/semantic_kernel/prompt_template/utils/template_function_helpers.py
index 3e7b7d3675ce..2cdc08087506 100644
--- a/python/semantic_kernel/prompt_template/utils/template_function_helpers.py
+++ b/python/semantic_kernel/prompt_template/utils/template_function_helpers.py
@@ -8,6 +8,7 @@
 
 import nest_asyncio
 
+from semantic_kernel.exceptions import FunctionExecutionException
 from semantic_kernel.functions.kernel_arguments import KernelArguments
 from semantic_kernel.prompt_template.const import (
     HANDLEBARS_TEMPLATE_FORMAT_NAME,
@@ -22,6 +23,25 @@
 
 logger: logging.Logger = logging.getLogger(__name__)
 
+# Parameters that the kernel injects when invoking a function. They cannot be supplied
+# positionally from a template because they are not part of the template-facing signature.
+_INJECTED_FUNCTION_PARAMETER_NAMES = frozenset({"kernel", "service", "execution_settings", "arguments"})
+
+
+def _map_positional_arguments(function: "KernelFunction", positional_args: tuple[Any, ...]) -> dict[str, Any]:
+    """Map positional template arguments to the function's template-facing parameters."""
+    parameter_names = [
+        parameter.name
+        for parameter in function.parameters
+        if parameter.name is not None and parameter.name not in _INJECTED_FUNCTION_PARAMETER_NAMES
+    ]
+    if len(positional_args) > len(parameter_names):
+        raise FunctionExecutionException(
+            f"Function '{function.fully_qualified_name}' accepts at most {len(parameter_names)} positional "
+            f"argument(s), but {len(positional_args)} were provided."
+        )
+    return dict(zip(parameter_names, positional_args))
+
 
 def create_template_helper_from_function(
     function: "KernelFunction",
@@ -86,7 +106,6 @@ def func(*args, **kwargs):
         if base_arguments and base_arguments.execution_settings:
             arguments.execution_settings = base_arguments.execution_settings  # pragma: no cover
         arguments.update(base_arguments)
-        arguments.update(kwargs)
 
         if len(args) > 0 and template_format == HANDLEBARS_TEMPLATE_FORMAT_NAME:
             this = args[0]
@@ -100,6 +119,9 @@ def func(*args, **kwargs):
         else:
             logger.debug("Jinja2 context or Handlebars context without `this`")
 
+        arguments.update(_map_positional_arguments(function, actual_args))
+        arguments.update(kwargs)
+
         logger.debug(
             "Invoking function %s with positional argument count %d and keyword argument count %d.",
             function.metadata.fully_qualified_name,
@@ -131,6 +153,7 @@ async def func(*args, **kwargs):
         if base_arguments and base_arguments.execution_settings:
             arguments.execution_settings = base_arguments.execution_settings  # pragma: no cover
         arguments.update(base_arguments)
+        arguments.update(_map_positional_arguments(function, args))
         arguments.update(kwargs)
         logger.debug(
             "Invoking function %s with positional argument count %d and keyword argument count %d.",
diff --git a/python/tests/unit/prompt_template/test_template_helper.py b/python/tests/unit/prompt_template/test_template_helper.py
index 723ac2f6008a..beb6f52c36aa 100644
--- a/python/tests/unit/prompt_template/test_template_helper.py
+++ b/python/tests/unit/prompt_template/test_template_helper.py
@@ -4,6 +4,7 @@
 
 import pytest
 
+from semantic_kernel.exceptions import FunctionExecutionException
 from semantic_kernel.functions import kernel_function
 from semantic_kernel.functions.kernel_function_from_method import KernelFunctionFromMethod
 from semantic_kernel.kernel import Kernel
@@ -95,3 +96,55 @@ async def test_create_helpers_fail(kernel: Kernel, template_format: str, enable_
         assert int(str(res)) == 2
     else:
         assert int(str(result(x=1))) == 2
+
+
+@pytest.mark.parametrize(
+    ("template_format", "prepend_context"),
+    [
+        pytest.param(JINJA2_TEMPLATE_FORMAT_NAME, False, id="jinja2"),
+        pytest.param(HANDLEBARS_TEMPLATE_FORMAT_NAME, True, id="handlebars"),
+    ],
+)
+def test_create_sync_helpers_with_positional_arguments(kernel: Kernel, template_format: str, prepend_context: bool):
+    function = KernelFunctionFromMethod(kernel_function(lambda a=1, b=2: a + b, name="test"), plugin_name="test")
+    helper = create_template_helper_from_function(
+        function, kernel, {}, template_format, allow_dangerously_set_content=True, enable_async=False
+    )
+
+    args = (None, 3, 4) if prepend_context else (3, 4)
+    result = helper(*args)
+
+    assert int(str(result)) == 7
+
+
+async def test_create_async_helper_with_positional_arguments(kernel: Kernel):
+    function = KernelFunctionFromMethod(kernel_function(lambda a=1, b=2: a + b, name="test"), plugin_name="test")
+    helper = create_template_helper_from_function(
+        function, kernel, {}, JINJA2_TEMPLATE_FORMAT_NAME, allow_dangerously_set_content=True, enable_async=True
+    )
+
+    result = await helper(3, 4)
+
+    assert int(str(result)) == 7
+
+
+def test_create_helper_rejects_too_many_positional_arguments(kernel: Kernel):
+    function = KernelFunctionFromMethod(kernel_function(lambda a=1, b=2: a + b, name="test"), plugin_name="test")
+    helper = create_template_helper_from_function(
+        function, kernel, {}, HANDLEBARS_TEMPLATE_FORMAT_NAME, allow_dangerously_set_content=True, enable_async=False
+    )
+
+    with pytest.raises(FunctionExecutionException, match="accepts at most 2 positional argument"):
+        helper(None, 1, 2, 3)
+
+
+def test_create_helper_skips_kernel_injected_parameters(kernel: Kernel):
+    def function_with_kernel(kernel: Kernel, value: str = "default") -> str:
+        return value
+
+    function = KernelFunctionFromMethod(kernel_function(function_with_kernel, name="test"), plugin_name="test")
+    helper = create_template_helper_from_function(
+        function, kernel, {}, JINJA2_TEMPLATE_FORMAT_NAME, allow_dangerously_set_content=True, enable_async=False
+    )
+
+    assert str(helper("passed")) == "passed"