diff --git a/docs/shared/jest-plugin.md b/docs/shared/jest-plugin.md
index 1af0644bd526d..1e4a8c9717ec0 100644
--- a/docs/shared/jest-plugin.md
+++ b/docs/shared/jest-plugin.md
@@ -118,6 +118,23 @@ By default, coverage reports will be generated in the `coverage/` directory unde
 
 > `coverageDirectory` and `coverageReporters` are configurable via the project configuration file as well.
 
+### Global setup/teardown with nx libraries
+
+In order to use Jest's global setup/teardown functions that reference nx libraries, you'll need to register the TS path for jest to resolve the libraries.
+Nx provides a helper function that you can import within your setup/teardown file.
+
+```ts
+import { registerTsProject } from 'nx/src/utils/register';
+const cleanupRegisteredPaths = registerTsProject('.', 'tsconfig.base.json');
+
+import { yourFancyFunction } from '@some-org/my-util-library';
+export default async function () {
+  yourFancyFunction();
+}
+// make sure to run the clean up!
+cleanupRegisteredPaths();
+```
+
 ## Debugging Failing Tests
 
 If your code editor doesn't provide a way to debug your tests, you can leverage the Chrome DevTools to debug your tests with the `--inspect-brk` flag for node.
diff --git a/e2e/jest/src/jest.test.ts b/e2e/jest/src/jest.test.ts
index ed3674cd0f912..34ac3520830ba 100644
--- a/e2e/jest/src/jest.test.ts
+++ b/e2e/jest/src/jest.test.ts
@@ -8,7 +8,9 @@ import {
 } from '@nrwl/e2e/utils';
 
 describe('Jest', () => {
-  beforeEach(() => newProject());
+  beforeAll(() => {
+    newProject({ name: uniq('proj') });
+  });
 
   it('should be able test projects using jest', async () => {
     const mylib = uniq('mylib');
@@ -23,7 +25,18 @@ describe('Jest', () => {
   it('should merge with jest config globals', async () => {
     const testGlobal = `'My Test Global'`;
     const mylib = uniq('mylib');
+    const utilLib = uniq('util-lib');
     runCLI(`generate @nrwl/workspace:lib ${mylib} --unit-test-runner jest`);
+    runCLI(
+      `generate @nrwl/workspace:lib ${utilLib} --importPath=@global-fun/globals`
+    );
+    updateFile(
+      `libs/${utilLib}/src/index.ts`,
+      stripIndents`
+      export function setup() {console.log('i am a global setup function')}
+      export function teardown() {console.log('i am a global teardown function')}
+    `
+    );
 
     updateFile(`libs/${mylib}/src/lib/${mylib}.ts`, `export class Test { }`);
 
@@ -36,6 +49,31 @@ describe('Jest', () => {
         `
     );
 
+    updateFile(
+      `libs/${mylib}/setup.ts`,
+      stripIndents`
+      const { registerTsProject } = require('nx/src/utils/register');
+      const cleanup = registerTsProject('.', 'tsconfig.base.json');
+      
+      import {setup} from '@global-fun/globals'; 
+      export default async function() {setup();}
+      
+      cleanup();
+    `
+    );
+
+    updateFile(
+      `libs/${mylib}/teardown.ts`,
+      stripIndents`
+      import { registerTsProject } from 'nx/src/utils/register';
+      const cleanup = registerTsProject('.', 'tsconfig.base.json');
+      
+      import {teardown} from '@global-fun/globals'; 
+      export default async function() {teardown();}
+      cleanup();
+    `
+    );
+
     updateFile(
       `libs/${mylib}/jest.config.js`,
       stripIndents`
@@ -48,7 +86,9 @@ describe('Jest', () => {
             moduleFileExtensions: ['ts', 'js', 'html'],
             coverageReporters: ['html'],
             passWithNoTests: true,
-            globals: { testGlobal: ${testGlobal} }
+            globals: { testGlobal: ${testGlobal} },
+            globalSetup: '<rootDir>/setup.ts',
+            globalTeardown: '<rootDir>/teardown.ts'
           };`
     );