diff --git a/docs/postgres.md b/docs/postgres.md
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--- /dev/null
+++ b/docs/postgres.md
@@ -0,0 +1,81 @@
+# Run Postgres with Bison 
+
+1. Setup a database locally ([Postgres](https://postgresapp.com/downloads.html) is the only type fully supported right now)
+1. Make sure your database user has permission to create schemas and databases. We recommend using a superuser account locally to keep things easy.
+1. Setup your local database with `yarn db:setup`. You'll be prompted to create it if it doesn't already exist:1. Setup a database locally ([Postgres](https://postgresapp.com/downloads.html) is the only type fully supported right now)
+1. Make sure your database user has permission to create schemas and databases. We recommend using a superuser account locally to keep things easy.
+1. Setup your local database with `yarn db:setup`. You'll be prompted to create it if it doesn't already exist:
+When creating a bison app, you are prompted with questions to set up your app along with Postgres. 
+
+![Prisma DB Create Prompt](https://user-images.githubusercontent.com/14339/88480536-7e1fb180-cf24-11ea-85c9-9bed43c9dfe4.png)
+
+Need help setting up Postgres locally?
+
+#### Install Postgres on Mac
+Mac: https://postgresapp.com/
+
+#### Install Postgres on Windows
+Windows: https://www.postgresql.org/download/windows/
+
+## Run Postgres with Docker
+
+The following configuration sets up a Postgres database.
+
+Create a `docker-compose.yml` file to the root directory of your application and add the following
+
+```bash
+version: '3.8'
+
+services:
+  db:
+    container_name: postgres
+    ports:
+      - '5433:5432'
+    image: postgres:latest
+    volumes:
+      - ./.data/postgres:/var/lib/postgresql/data
+    restart: always
+    environment:
+      POSTGRES_USER: dev
+      POSTGRES_PASSWORD: dev
+      POSTGRES_DB: dev
+```
+A different schema is created for your testing data.
+
+Please note the ports to adjust your environment variables. See below for an example. 
+
+Add `.data/` to your `.gitignore`
+
+#### Edit your environment variables:
+Change the database URL in `.env.local`:
+```
+DATABASE_URL="postgres://dev:dev@postgres:5433/dev?schema=public"
+```
+
+and
+
+`.env.test`
+```
+DATABASE_URL="postgres://dev:dev@postgres:5433/dev?schema=testing"
+```
+
+**Note**: When creating a bison app, if you answered something else rather than `dev` when prompted, "What is the local test database
+name?" You will have to set the variable `testDabaseName` to `dev` in `test/jest.setup.js` file.
+
+Run the following command in your terminal:
+`docker-compose up -d` 
+
+To shut it down:
+`docker-compose down`
+
+## Optional - Package.json
+Add the following to your `package.json`
+
+```json
+"scripts": {
+  "docker:up": "docker-compose up -d",
+  "docker:down" "docker-compose down" 
+}
+```
+
+For more information about Docker please refer to the documentation [Docker](https://docs.docker.com/).
diff --git a/packages/create-bison-app/README.md b/packages/create-bison-app/README.md
index f18d7d9a..fdba9b3d 100644
--- a/packages/create-bison-app/README.md
+++ b/packages/create-bison-app/README.md
@@ -71,11 +71,7 @@ npx create-bison-app MyApp
 
 ## Setup the database
 
-1. Setup a database locally ([Postgres](https://postgresapp.com/downloads.html) is the only type fully supported right now)
-1. Make sure your database user has permission to create schemas and databases. We recommend using a superuser account locally to keep things easy.
-1. Setup your local database with `yarn db:setup`. You'll be prompted to create it if it doesn't already exist:
-
-![Prisma DB Create Prompt](https://user-images.githubusercontent.com/14339/88480536-7e1fb180-cf24-11ea-85c9-9bed43c9dfe4.png)
+Please refer to: [Set up Postgres](/docs/postgres.md).
 
 ## Run the app locally