diff --git a/package.json b/package.json
index 99482c8e..cef783ef 100644
--- a/package.json
+++ b/package.json
@@ -102,9 +102,22 @@
         },
         "ruff.configuration": {
           "default": null,
-          "markdownDescription": "Path to a `ruff.toml` or `pyproject.toml` file to use for configuration. By default, Ruff will discover configuration for each project from the filesystem, mirroring the behavior of the Ruff CLI.\n\n**This setting is used only by the native server.**",
+          "markdownDescription": "Configuration overrides for Ruff. See [the documentation](https://docs.astral.sh/ruff/editors/settings/#configuration) for more details.\n\n**This setting is used only by the native server.**",
           "scope": "window",
-          "type": "string"
+          "type": [
+            "string",
+            "object"
+          ],
+          "oneOf": [
+            {
+              "type": "string",
+              "markdownDescription": "Path to a `ruff.toml` or `pyproject.toml` file to use for configuration."
+            },
+            {
+              "type": "object",
+              "markdownDescription": "Inline JSON configuration for Ruff settings (e.g., `{ \"line-length\": 100 }`). *Added in Ruff 0.9.8.*"
+            }
+          ]
         },
         "ruff.args": {
           "default": [],
diff --git a/src/common/server.ts b/src/common/server.ts
index 9b503b5a..d4213a35 100644
--- a/src/common/server.ts
+++ b/src/common/server.ts
@@ -21,6 +21,7 @@ import {
 import { logger } from "./logger";
 import { getDebuggerPath } from "./python";
 import {
+  checkInlineConfigSupport,
   getExtensionSettings,
   getGlobalSettings,
   getUserSetLegacyServerSettings,
@@ -189,6 +190,8 @@ async function createNativeServer(
       vscode.window.showErrorMessage(message);
       return Promise.reject();
     }
+
+    checkInlineConfigSupport(ruffVersion, serverId);
   }
 
   let ruffServerArgs: string[];
diff --git a/src/common/settings.ts b/src/common/settings.ts
index 08c352d2..cfbf66d6 100644
--- a/src/common/settings.ts
+++ b/src/common/settings.ts
@@ -8,6 +8,12 @@ import {
 import { getInterpreterDetails } from "./python";
 import { getConfiguration, getWorkspaceFolders } from "./vscodeapi";
 import { logger } from "./logger";
+import {
+  INLINE_CONFIGURATION_VERSION,
+  VersionInfo,
+  supportsInlineConfiguration,
+  versionToString,
+} from "./version";
 
 type ImportStrategy = "fromEnvironment" | "useBundled";
 
@@ -50,7 +56,7 @@ export interface ISettings {
   path: string[];
   ignoreStandardLibrary: boolean;
   interpreter: string[];
-  configuration: string | null;
+  configuration: string | object | null;
   importStrategy: ImportStrategy;
   codeAction: CodeAction;
   enable: boolean;
@@ -135,8 +141,8 @@ export async function getWorkspaceSettings(
     interpreter = resolveVariables(interpreter, workspace);
   }
 
-  let configuration = config.get<string>("configuration") ?? null;
-  if (configuration !== null) {
+  let configuration = config.get<string | object>("configuration") ?? null;
+  if (configuration !== null && typeof configuration === "string") {
     configuration = resolveVariables(configuration, workspace);
   }
 
@@ -199,7 +205,7 @@ export async function getGlobalSettings(namespace: string): Promise<ISettings> {
     path: getGlobalValue<string[]>(config, "path", []),
     ignoreStandardLibrary: getGlobalValue<boolean>(config, "ignoreStandardLibrary", true),
     interpreter: [],
-    configuration: getGlobalValue<string | null>(config, "configuration", null),
+    configuration: getGlobalValue<string | object | null>(config, "configuration", null),
     importStrategy: getGlobalValue<ImportStrategy>(config, "importStrategy", "fromEnvironment"),
     codeAction: getGlobalValue<CodeAction>(config, "codeAction", {}),
     lint: {
@@ -333,6 +339,25 @@ function getPreferredGlobalSetting<T>(
   return newSettings?.defaultValue;
 }
 
+export function checkInlineConfigSupport(ruffVersion: VersionInfo, serverId: string) {
+  if (supportsInlineConfiguration(ruffVersion)) {
+    return;
+  }
+
+  getWorkspaceFolders().forEach((workspace) => {
+    const config = getConfiguration(serverId, workspace.uri).get<string | object>("configuration");
+    if (typeof config === "object") {
+      const message = `Inline configuration support was added in Ruff ${versionToString(
+        INLINE_CONFIGURATION_VERSION,
+      )} (current version is ${versionToString(
+        ruffVersion,
+      )}). Please update your Ruff version to use this feature.`;
+      logger.warn(message);
+      vscode.window.showWarningMessage(message);
+    }
+  });
+}
+
 /**
  * Check if the user have configured `notebook.codeActionsOnSave` with non-notebook prefixed code actions.
  */
diff --git a/src/common/version.ts b/src/common/version.ts
index 30070abc..218a2cf3 100644
--- a/src/common/version.ts
+++ b/src/common/version.ts
@@ -58,3 +58,15 @@ export const NATIVE_SERVER_STABLE_VERSION: VersionInfo = { major: 0, minor: 5, p
 export function supportsStableNativeServer(version: VersionInfo): boolean {
   return versionGte(version, NATIVE_SERVER_STABLE_VERSION);
 }
+
+/**
+ * The minimum version of the Ruff executable that supports inline configuration.
+ */
+export const INLINE_CONFIGURATION_VERSION: VersionInfo = { major: 0, minor: 9, patch: 8 };
+
+/**
+ * Check if the given version of the Ruff executable supports inline configuration.
+ */
+export function supportsInlineConfiguration(version: VersionInfo): boolean {
+  return versionGte(version, INLINE_CONFIGURATION_VERSION);
+}