jest.config.js

// jest.config.js
const nextJest = require('next/jest')

const { pathsToModuleNameMapper } = require('ts-jest');

// In the following statement, replace `./tsconfig` with the path to your `tsconfig` file
// which contains the path mapping (ie the `compilerOptions.paths` option):
const { compilerOptions } = require('./tsconfig');

const createJestConfig = nextJest({
  // Provide the path to your Next.js app to load next.config.js and .env files in your test environment
  dir: './',
})

// Add any custom config to be passed to Jest
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', './'],
  moduleNameMapper: pathsToModuleNameMapper(
    compilerOptions.paths,
    { prefix: '<rootDir>/' },
  ),
  preset: 'ts-jest',
  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)