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10 minute setup

Cursor Setup: How to Set Up Cursor AI

Install Cursor, sign in, pick your AI model, add project rules, and ship your first feature with the Agent. Every step below was verified against the official Cursor docs in August 2026, so nothing here is stale.

Quick Answer: Cursor setup

Download Cursor from cursor.com (macOS 12+, Windows 10+, or Linux), sign in, and import your VS Code settings in one click. Press Cmd+I to open the Agent and describe what you want built. Install to first working prompt takes about 10 minutes. The free Hobby plan is enough to evaluate it; Pro is $20 a month as of August 20, 2026.

Prerequisites

  • A computer running macOS 12+, Windows 10+, or Linux
  • Internet connection (the AI features run server-side)
  • A Cursor account (free Hobby plan, no credit card needed)
  • Optional: an existing project you want to work on
1

Download Cursor

Head to cursor.com and click the download button. Cursor detects your OS and hands you the right installer: a .dmg for macOS (Apple Silicon and Intel), a .exe for Windows.

On Linux you have a choice. Cursor ships apt packages for Debian and Ubuntu and dnf packages for RHEL and Fedora, and the official docs recommend those over the portable AppImage because they add desktop icons, automatic updates, and the CLI tool.

Coming from VS Code?

Cursor is a fork of VS Code, so everything you know works the same way. Your extensions, themes, keybindings, and settings can all be imported in one click during first launch. You do not need VS Code installed for Cursor to work.
2

Install and First Launch

Mac: Open the .dmg and drag Cursor to Applications. Requires macOS 12 (Monterey) or later.

Windows: Run the .exe installer. Defaults are fine. Requires Windows 10 or later.

Linux (Debian/Ubuntu): install via apt following the repo instructions on the download page. For the portable route:

chmod +x Cursor-*.AppImage
./Cursor-*.AppImage

On first launch Cursor walks you through a short setup: keyboard layout, theme, and the VS Code import. Say yes to the import if you have VS Code. Also let it install the cursor shell command so you can open any folder from the terminal.

3

Sign In and Pick a Plan

Cursor needs an account for the AI features. Sign up with Google, GitHub, or email. Sign-in bounces through your browser and back to the app.

What the plans actually get you, per the live pricing data we track (verified August 20, 2026):

  • Hobby (free): Tab completions and a limited number of Agent requests. No credit card. Enough to evaluate Cursor on a real project.
  • Pro ($20/mo): extended Agent limits and access to frontier models. The plan most individual developers land on.
  • Pro+ and Ultra: higher multiples of the Pro limits for heavy agent users. Cursor does not list their prices on the public pricing page.
  • Teams ($40/user/mo): centralized billing, shared rules, SSO.

Full breakdown on our Cursor pricing page, which pulls from the same tracker.

Free tier strategy

Start on Hobby and use it on real work, not toy prompts. The moment you hit the Agent request limit mid-task, you have your answer on whether Pro is worth $20.
4

Meet the Agent

Press Cmd+I (Mac) or Ctrl+I (Windows/Linux) to open the Agent sidepanel. This is the main AI surface in current Cursor. The old "Composer" and separate chat panel from earlier versions have been folded into it, so if a tutorial tells you Cmd+L opens something different, it is out of date. Both shortcuts now toggle the same panel.

The Agent has modes, and switching them is the skill worth learning first:

  • Agent mode: reads your codebase, plans, edits multiple files, runs terminal commands, and shows you every change as a diff.
  • Plan mode: press Shift+Tab in the input to rotate modes. Plan mode makes Cursor lay out its approach before writing code. Use it for anything bigger than a one-file change.
  • Inline edit: select code and press Cmd+K for a quick targeted change without opening the panel.

And always: Tab accepts autocomplete suggestions as you type. Cursor Tab predicts whole edits, not just the next token.

5

Choose Your AI Model

The model picker sits in the Agent input, and Cmd+/ cycles between models without touching the mouse. Cursor routes to multiple providers:

  • Claude (Anthropic): best for complex reasoning, refactoring, and understanding large codebases. The default recommendation for real development work.
  • GPT (OpenAI): fast and capable. Good for quick edits and general-purpose tasks.
  • Gemini (Google): strong long-context handling when you need many files in scope at once.
You are not choosing forever. Pick per task and switch mid-conversation: Claude for the gnarly refactor, a faster model for the follow-up cleanups.

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6

Open a Project and Prompt

Open a folder with File > Open Folder, or from the terminal:

mkdir my-first-cursor-project
cd my-first-cursor-project
cursor .

Cursor indexes the project in the background so the Agent can search it. Small projects index in seconds. On big monorepos, add a .cursorignore file to keep generated folders out of the index.

Then open the Agent (Cmd+I) and try a real prompt. In an empty project:

Create a simple Express.js server with a health check
endpoint at /api/health that returns { status: "ok" }.
Include a package.json with the right dependencies.

In an existing project, start by asking instead of editing:

@codebase How is authentication handled in this project?
Which files are involved?

Cursor shows every change as a diff. Review, adjust if needed, then accept.

Good prompts are specific

Instead of "make a login page," try "Create a login page with email and password fields, form validation, and a submit handler that calls /api/auth/login. Use React Hook Form and Tailwind CSS." Context in, quality out.
7

Add Project Rules

Rules tell Cursor about your stack and conventions so every prompt starts from the right assumptions. Current Cursor gives you two ways to do it:

  • AGENTS.md: a plain markdown file at your repo root. The simple option, and the one to start with. Nested AGENTS.md files in subdirectories work too.
  • .cursor/rules: a directory of .mdc files with frontmatter that controls when each rule applies (always, per file glob, when the Agent judges it relevant, or only when @-mentioned). Use this once you want different rules for different parts of the codebase.
The single .cursorrules file you will see in older tutorials is the legacy format. It is superseded by AGENTS.md and .cursor/rules. Also note that plain .md files inside .cursor/rules are ignored; rule files there must be .mdc with frontmatter.

A practical starter AGENTS.md:

# AGENTS.md

## Tech Stack
- Framework: Next.js 15 (App Router)
- Styling: Tailwind CSS
- Database: Supabase (Postgres)
- Language: TypeScript (strict mode)

## Conventions
- Functional components with hooks
- Prefer server components; add 'use client' only when needed
- Absolute imports from the @/ prefix
- Wrap async operations in try/catch
- Files in kebab-case, components in PascalCase

## Do Not
- Use CSS-in-JS libraries
- Create files over 300 lines; split into smaller modules
- Use default exports for non-page components
8

Build Something Real

Now put the Agent to work on a feature that spans files. Open it with Cmd+I, switch to Plan mode with Shift+Tab if the change is non-trivial, and describe the outcome:

Add a user profile page at /profile that:
- Shows the user's name, email, and avatar
- Has an "Edit Profile" button that opens an inline form
- Saves changes via a PATCH /api/users/me endpoint
- Shows a success toast after saving
- Handles loading and error states

The Agent plans the change, creates or edits the files, and presents a complete diff. Review each file before accepting. Then ask it to verify its own work: run the type checker, the tests, the build. Cursor can run those commands itself and fix what breaks.

Iterate, don't restart

If the first result is not perfect, send a follow-up like "Move the avatar to the left and make the form fields wider." The conversation keeps context, and checkpoints let you roll back if a direction turns out wrong.

The 3 Settings That Actually Matter

1. Privacy Mode

In Cursor Settings under Privacy. With Privacy Mode on, your code is not retained for training. If you work on anything commercial or client-owned, turn this on before your first prompt, not after.

2. Codebase indexing and .cursorignore

The index is what makes @codebase and Agent search useful. Check Settings for indexing status on big repos, and use .cursorignore to exclude generated code, fixtures, and vendored dependencies. A clean index means the Agent quotes your real code instead of build artifacts.

3. Rules (AGENTS.md or .cursor/rules)

Not technically a settings toggle, but it changes output quality more than any switch in the settings panel. Ten lines about your stack and conventions save you from correcting the same mistakes in every conversation.

Troubleshooting: Where Setups Get Stuck

Stuck at the sign-in screen after clicking "Log in"
Cursor opens your default browser to authenticate, then hands the session back to the app. If nothing happens after you approve, your browser blocked the redirect. Switch back to Cursor manually, and if it still shows the sign-in screen, quit Cursor fully and sign in again. Corporate machines with strict link handlers are the usual culprit.
AppImage will not launch on Linux
Most failures are a missing chmod +x or a distribution without FUSE. Cursor now ships proper apt and dnf packages for Debian, Ubuntu, RHEL, and Fedora, and its own docs recommend them over the AppImage. Install via the package manager and you also get desktop icons, auto updates, and the cursor CLI command.
VS Code extensions or settings did not come across
The one-click import only runs on first launch. If you skipped it, open the Command Palette (Cmd+Shift+P or Ctrl+Shift+P) and search for the VS Code import command, or install extensions manually. Cursor uses its own extension marketplace, so one or two niche extensions may be missing. Everything mainstream is there.
Indexing hangs on a large repository
Cursor indexes your codebase so the Agent can search it. On monorepos this can crawl if it is chewing through node_modules or build output. Add a .cursorignore file at the repo root, ignore heavy generated folders, then trigger a re-index from settings. Indexing respects .gitignore too, so committed junk is the usual cause.
Hit the free plan limit mid-task
The Hobby plan has limited Agent requests. When you hit the ceiling, requests queue or stop rather than fail loudly, which looks like the AI going quiet. Check your usage in account settings. If you hit the limit on real work, that is the signal the $20/mo Pro plan will pay for itself.
The Agent edits the wrong files
This is almost always a context problem, not a model problem. Reference the exact files with @filename in your prompt, or select the code you care about before pressing Cmd+K. For repo-wide questions use @codebase. The narrower the target you give it, the better it shoots.

What to Build First

Personal Portfolio Site

Beginner20 min

A responsive portfolio with a hero section, project cards, and a contact form. Start with "Create a modern portfolio site with Next.js and Tailwind CSS."

REST API with Auth

Intermediate30 min

Build an Express.js API with JWT authentication, CRUD routes, and input validation. Ask the Agent to scaffold the whole thing at once.

Real-Time Chat App

Advanced45 min

A WebSocket-powered chat application with rooms, typing indicators, and message persistence. Great for testing multi-file editing.

Cursor Tips from Power Users

Use @-mentions for context

Type @filename, @folder, or @codebase in the Agent panel to give Cursor precise context. @codebase searches your entire indexed repo, which is the right tool for architecture questions.

Tab is your best friend

Cursor Tab predicts your next edit, not just your next line. Start typing and it suggests multi-line completions based on intent. Tab accepts the whole thing, Cmd+Right Arrow accepts one word at a time.

Plan before big changes

Press Shift+Tab in the Agent input to rotate modes, including Plan mode. Plan mode makes Cursor write out its approach before touching files, which catches wrong turns while they are still cheap.

Keep rules files short

Whether you use AGENTS.md or .cursor/rules, long rules dilute the AI's attention. Cover your tech stack, conventions, and file structure. Skip filler like "write clean code."

Switch models per task

Use Claude for complex reasoning and refactoring, a faster model for quick edits. Cmd+/ cycles between models without leaving the input, and you can switch mid-conversation.

Review diffs, then undo freely

Every Agent edit lands as a reviewable diff, and accepted edits behave like normal edits. If something goes wrong, Cmd+Z reverses it, and chat checkpoints let you roll a whole conversation back.

Essential Keyboard Shortcuts

Current defaults, checked against the official Cursor keyboard reference in August 2026. On Windows and Linux, swap Cmd for Ctrl.

ActionMacWindows / Linux
Open the Agent sidepanelCmd+ICtrl+I
Inline edit selected codeCmd+KCtrl+K
Accept Tab suggestionTabTab
Accept next word onlyCmd+Right ArrowCtrl+Right Arrow
Reject suggestionEscEsc
Rotate Agent modes (incl. Plan)Shift+TabShift+Tab
Cycle AI modelsCmd+/Ctrl+/
New chatCmd+NCtrl+N
Command PaletteCmd+Shift+PCtrl+Shift+P
Add file to contextType @filenameType @filename

You are set up. Now explore.

Read our full Cursor review for the verdict after months of daily use, or watch it go head to head with Windsurf in the live duel.

Learn More About Cursor

Cursor Setup FAQ

Is Cursor free to use?
Yes, with limits. The Hobby plan is free, needs no credit card, and includes Tab completions plus a limited number of Agent requests. That is enough to evaluate the editor on a real project. Pro is $20 per month (as of the August 20, 2026 pricing check) and extends the Agent limits and model access. Pro+ and Ultra tiers exist above that for heavy users.
Do I need VS Code installed before setting up Cursor?
No. Cursor is a standalone fork of VS Code and works on its own. If you do have VS Code installed, Cursor offers a one-click import of your extensions, themes, settings, and keybindings on first launch, so switching costs you nothing.
How do I install Cursor on Linux?
Cursor ships apt packages for Debian and Ubuntu and dnf packages for RHEL and Fedora, and the official docs recommend those over the AppImage because they add desktop icons, automatic updates, and the cursor CLI command. The portable AppImage still works: download it, run chmod +x on it, and launch.
What happened to the .cursorrules file?
It is the legacy format. Current Cursor reads project rules from .mdc files in a .cursor/rules directory, with frontmatter controlling when each rule applies, and also supports a plain AGENTS.md file at the repo root as the simpler option. If you have an old .cursorrules file, migrate its contents to AGENTS.md or .cursor/rules.
Which AI model should I choose in Cursor?
Start with the default and only pin a model when you have a reason. The practical split: Claude models for complex reasoning, refactoring, and large-codebase work, faster models for quick edits. Cmd+/ cycles between models, and you can change mid-conversation, so this is not a decision you commit to.
How long does Cursor setup actually take?
About 10 minutes to a working state: download and install takes 3 to 5 minutes, sign-in takes 1, and importing VS Code settings is one click. Adding a rules file and learning the Agent takes another 10 to 15 minutes, which is the part this guide covers step by step.
What are the system requirements for Cursor?
macOS 12 (Monterey) or later on Apple Silicon or Intel, Windows 10 or later, or a mainstream Linux distribution (Debian, Ubuntu, RHEL, Fedora, or anything that runs AppImages). You also need an internet connection for the AI features. The AI runs on Cursor's servers, not your machine, so you do not need a powerful computer.
Does Cursor work offline?
The editor itself works offline like VS Code does, but everything AI-powered (Tab completions, the Agent, inline edits) needs an internet connection because the models run server-side.

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