The method and system described herein may be used to determine a reference yaw rate (γref) for a vehicle chassis control system, and may do so across a wide spectrum of vehicle operating conditions. These conditions may include, for example, when the vehicle is being driven: at low and high vehicle speeds, in forward and reverse directions, with front-, rear- and all-wheel steering systems, according to subtle and aggressive driving maneuvers, and on roads with flat or banked surfaces, to cite a few of the potential scenarios. According to an exemplary embodiment, the method and system take into account certain tire dynamics, such as the relaxation length (λ) of the tires, when estimating the reference yaw rate (γref). Once an accurate reference yaw rate (γref) is determined, the vehicle chassis control system may use this estimate to control one or more actuators that can influence the yaw rate of the vehicle. Some non-limiting examples of systems that may include such actuators are chassis systems, brake systems, steering systems, suspension systems, safety systems, stability control systems, traction control systems, torque control systems, or any other system that can affect the vehicle yaw rate. It is also possible for the method and system described herein to determine a reference lateral velocity (Vyref) for the vehicle as well.