DD-WRT Router – L2TP/IPsec VPN Setup Tutorial

Important! By setting up a L2TP VPN connection on a DD-WRT router your IP will be changed but your traffic will NOT be encrypted. That happens because the connection does not use IPSec.

In order to setup L2TP VPN on your DD-WRT router you have to flash your router with DD-WRT firmware and set router local IP address as Also please check if you can connect to Internet via Wi-Ffi from this router. We also recommend to check VPN on your PC/Mac to ensure that your network configuration and ISP allow L2TP/IPsec connections.

Important: L2TP can NOT be used concurrently with PPPoE or Static IP if you use DD-WRT flashed router as main router. We recommend you to use DD-WRT flashed router as the second one.

  1. Connect to your router. For that you have to put in your browser the following address:
    Also you have to set your network connection to obtain IP address automatically if you connect to your router via Ethernet.
  2. Configure your DD-WRT router to share your regular internet connection.
  3. Go to “Setup” -> “Basic Setup” (1).
    On “Connection type” (2) select L2TP.
    In the “Gateway (L2TP Server)” field (3) enter the IP address of the server you want to connect to.
    In the “Username” field (4) enter your username you have received from CactusVPN.
    In the “Password” field (5) enter your VPN password.

    DD-WRT Router L2TP VPN Setup: Step 3

  4. Below at “Optional Settings” change “MTU” (9) to “Manual” and enter 1460 as value (10).
    Enter an IP address (11) for the DD-WRT access point, if this is the second router then you must set a different Local IP address then your main router.

    DD-WRT Router L2TP VPN Setup: Step 4

  5. Enable DHCP Server (12) and make sure all 3 boxes (13) are NOT checked: “Use DNSMasq for DNCP”, “Use DNSMasq for DNS” and “DHCP-Authoritative”.
    Click on “Apply settings” (14).

    DD-WRT Router L2TP VPN Setup: Step 5

  6. Go to “Security” tab (15) -> “Firewall” (16) set “Disable” for “SPI Firewall” (17).

    DD-WRT Router L2TP VPN Setup: Step 6

  7. Now go to “VPN Passthrough” tab (18) and select “Enable” for “PPTP Passthrough” (19) then click on “Apply settings” (20).

    DD-WRT Router L2TP VPN Setup: Step 7

  8. Go to “Administration” tab, on the bottom of the page you will find “Reboot router” button (21) – click it. After router reboots it should connect to VPN automatically.

    DD-WRT Router L2TP VPN Setup: Step 8

  9. To check the connection status, go to “Status” (22) -> “WAN” (23). If next to “Login status” (24) is written “Connected” then connection is set up successfully. If not click to connect wait for about 30 seconds and check if your IP has been changed.

    DD-WRT Router L2TP VPN Setup: Step 9

PDF version of this tutorial

Posted on March 6th, 2012 in Setup
  • Matt Clayfield

    didnt work for me

    • http://www.linkedin.com/in/denisgraur Denis Graur

      Hello Matt,

      please open a ticket here https://billing.cactusvpn.com/submitticket.php?step=2&deptid=3 and explain your problems to our support team and they will help to make it work for you! Thank you!