jest.config.js

const nextJest = require("next/jest");

const createJestConfig = nextJest({
  dir: "./",
});

/** @type {import('jest').Config} */
const customJestConfig = {
  // Add more setup options before each test is run
  setupFilesAfterEnv: ["<rootDir>/jest.setup.js"],
  // if using TypeScript with a baseUrl set to the root directory then you need the below for alias' to work
  moduleDirectories: ["node_modules", "<rootDir>/"],

  // If you're using [Module Path Aliases](https://nextjs.org/docs/advanced-features/module-path-aliases),
  // you will have to add the moduleNameMapper in order for jest to resolve your absolute paths.
  // The paths have to be matching with the paths option within the compilerOptions in the tsconfig.json
  // For example:

  moduleNameMapper: {
    "@/(.*)$": "<rootDir>/src/$1",
  },
  testEnvironment: "jest-environment-jsdom",
};

// createJestConfig is exported this way to ensure that next/jest can load the Next.js config which is async
module.exports = createJestConfig(customJestConfig);