diff --git a/__tests__/components/SetupProgressIndicator.test.tsx b/__tests__/components/SetupProgressIndicator.test.tsx
new file mode 100644
index 0000000..7ae62e4
--- /dev/null
+++ b/__tests__/components/SetupProgressIndicator.test.tsx
@@ -0,0 +1,170 @@
+import React from 'react';
+import { render } from '@testing-library/react-native';
+import {
+  SetupProgressIndicator,
+  SetupStep,
+} from '@/components/SetupProgressIndicator';
+
+describe('SetupProgressIndicator', () => {
+  describe('Component rendering', () => {
+    it('renders without crashing', () => {
+      const { root } = render(<SetupProgressIndicator currentStep="name" />);
+      expect(root).toBeDefined();
+    });
+
+    it('renders with default variant', () => {
+      const { root } = render(<SetupProgressIndicator currentStep="name" />);
+      expect(root).toBeDefined();
+    });
+
+    it('renders with compact variant', () => {
+      const { root } = render(
+        <SetupProgressIndicator currentStep="name" variant="compact" />
+      );
+      expect(root).toBeDefined();
+    });
+  });
+
+  describe('Step progression', () => {
+    const steps: SetupStep[] = ['name', 'beneficiary', 'purchase', 'activate'];
+
+    it.each(steps)('renders correctly for step "%s"', (step) => {
+      const { root } = render(<SetupProgressIndicator currentStep={step} />);
+      expect(root).toBeDefined();
+    });
+
+    it('shows "Step 1 of 4" for name step', () => {
+      const { getByText } = render(<SetupProgressIndicator currentStep="name" />);
+      expect(getByText(/Step 1 of 4/)).toBeDefined();
+    });
+
+    it('shows "Step 2 of 4" for beneficiary step', () => {
+      const { getByText } = render(
+        <SetupProgressIndicator currentStep="beneficiary" />
+      );
+      expect(getByText(/Step 2 of 4/)).toBeDefined();
+    });
+
+    it('shows "Step 3 of 4" for purchase step', () => {
+      const { getByText } = render(
+        <SetupProgressIndicator currentStep="purchase" />
+      );
+      expect(getByText(/Step 3 of 4/)).toBeDefined();
+    });
+
+    it('shows "Step 4 of 4" for activate step', () => {
+      const { getByText } = render(
+        <SetupProgressIndicator currentStep="activate" />
+      );
+      expect(getByText(/Step 4 of 4/)).toBeDefined();
+    });
+  });
+
+  describe('Step labels', () => {
+    it('shows step label for name step', () => {
+      const { getByText } = render(<SetupProgressIndicator currentStep="name" />);
+      expect(getByText(/Your Name/)).toBeDefined();
+    });
+
+    it('shows step label for beneficiary step', () => {
+      const { getByText } = render(
+        <SetupProgressIndicator currentStep="beneficiary" />
+      );
+      expect(getByText(/Add Loved One/)).toBeDefined();
+    });
+
+    it('shows step label for purchase step', () => {
+      const { getByText } = render(
+        <SetupProgressIndicator currentStep="purchase" />
+      );
+      expect(getByText(/Get Equipment/)).toBeDefined();
+    });
+
+    it('shows step label for activate step', () => {
+      const { getAllByText } = render(
+        <SetupProgressIndicator currentStep="activate" />
+      );
+      // "Connect" appears as both the short label and in "Step 4 of 4: Connect"
+      expect(getAllByText(/Connect/).length).toBeGreaterThan(0);
+    });
+  });
+
+  describe('Progress visualization', () => {
+    it('renders all 4 step circles', () => {
+      const { getAllByTestId, root } = render(
+        <SetupProgressIndicator currentStep="name" />
+      );
+      // Should have 4 step wrappers rendered
+      expect(root).toBeDefined();
+    });
+
+    it('displays short labels in default variant', () => {
+      const { getByText } = render(
+        <SetupProgressIndicator currentStep="beneficiary" />
+      );
+      // Short labels: Name, Person, Equipment, Connect
+      expect(getByText('Name')).toBeDefined();
+      expect(getByText('Person')).toBeDefined();
+      expect(getByText('Equipment')).toBeDefined();
+      expect(getByText('Connect')).toBeDefined();
+    });
+  });
+
+  describe('Variant differences', () => {
+    it('default variant shows step labels', () => {
+      const { getByText } = render(<SetupProgressIndicator currentStep="name" />);
+      expect(getByText('Name')).toBeDefined();
+    });
+
+    it('compact variant does not show step labels', () => {
+      const { queryByText } = render(
+        <SetupProgressIndicator currentStep="name" variant="compact" />
+      );
+      // In compact mode, short labels should not be rendered
+      // The component conditionally renders labels based on !isCompact
+      // So we expect to NOT find the short labels
+      expect(queryByText('Name')).toBeNull();
+    });
+  });
+
+  describe('Edge cases', () => {
+    it('handles first step correctly', () => {
+      const { getByText } = render(<SetupProgressIndicator currentStep="name" />);
+      expect(getByText(/Step 1 of 4/)).toBeDefined();
+    });
+
+    it('handles last step correctly', () => {
+      const { getByText } = render(
+        <SetupProgressIndicator currentStep="activate" />
+      );
+      expect(getByText(/Step 4 of 4/)).toBeDefined();
+    });
+
+    it('handles middle steps correctly', () => {
+      const { getByText: getByText1 } = render(
+        <SetupProgressIndicator currentStep="beneficiary" />
+      );
+      expect(getByText1(/Step 2 of 4/)).toBeDefined();
+
+      const { getByText: getByText2 } = render(
+        <SetupProgressIndicator currentStep="purchase" />
+      );
+      expect(getByText2(/Step 3 of 4/)).toBeDefined();
+    });
+  });
+
+  describe('Accessibility', () => {
+    it('renders with accessible text content', () => {
+      const { getByText } = render(<SetupProgressIndicator currentStep="name" />);
+      // Should have readable step information
+      expect(getByText(/Step 1 of 4: Your Name/)).toBeDefined();
+    });
+
+    it('shows meaningful progress information', () => {
+      const { getByText } = render(
+        <SetupProgressIndicator currentStep="purchase" />
+      );
+      expect(getByText(/Step 3 of 4: Get Equipment/)).toBeDefined();
+    });
+  });
+});
diff --git a/app/(auth)/activate.tsx b/app/(auth)/activate.tsx
index a25505e..4efcc1d 100644
--- a/app/(auth)/activate.tsx
+++ b/app/(auth)/activate.tsx
@@ -15,6 +15,7 @@ import { Ionicons } from '@expo/vector-icons';
 import { AppColors, Spacing, BorderRadius, FontSizes, FontWeights } from '@/constants/theme';
 import { api } from '@/services/api';
 import { validateSerial, getSerialErrorMessage } from '@/utils/serialValidation';
+import { SetupProgressIndicator } from '@/components/SetupProgressIndicator';
 
 
 export default function ActivateScreen() {
@@ -107,6 +108,9 @@ export default function ActivateScreen() {
             <View style={styles.placeholder} />
           </View>
 
+          {/* Setup Progress */}
+          <SetupProgressIndicator currentStep="activate" />
+
           {/* Icon */}
           <View style={styles.iconContainer}>
             <Ionicons name="qr-code" size={64} color={AppColors.primary} />
diff --git a/app/(auth)/add-loved-one.tsx b/app/(auth)/add-loved-one.tsx
index f04437f..cee41ec 100644
--- a/app/(auth)/add-loved-one.tsx
+++ b/app/(auth)/add-loved-one.tsx
@@ -17,6 +17,7 @@ import { Ionicons } from '@expo/vector-icons';
 import * as ImagePicker from 'expo-image-picker';
 import { Button } from '@/components/ui/Button';
 import { ErrorMessage } from '@/components/ui/ErrorMessage';
+import { SetupProgressIndicator } from '@/components/SetupProgressIndicator';
 import { AppColors, FontSizes, Spacing, BorderRadius, FontWeights } from '@/constants/theme';
 import { api } from '@/services/api';
 
@@ -151,6 +152,9 @@ export default function AddLovedOneScreen() {
           keyboardShouldPersistTaps="handled"
           showsVerticalScrollIndicator={false}
         >
+          {/* Setup Progress */}
+          <SetupProgressIndicator currentStep="beneficiary" />
+
           {/* Header */}
           <View style={styles.header}>
             <Text style={styles.title}>Add a Loved One</Text>
diff --git a/app/(auth)/enter-name.tsx b/app/(auth)/enter-name.tsx
index dafcc64..cf13bcd 100644
--- a/app/(auth)/enter-name.tsx
+++ b/app/(auth)/enter-name.tsx
@@ -13,6 +13,7 @@ import { Ionicons } from '@expo/vector-icons';
 import { Button } from '@/components/ui/Button';
 import { Input } from '@/components/ui/Input';
 import { ErrorMessage } from '@/components/ui/ErrorMessage';
+import { SetupProgressIndicator } from '@/components/SetupProgressIndicator';
 import { AppColors, BorderRadius, FontSizes, Spacing } from '@/constants/theme';
 import { api } from '@/services/api';
 
@@ -95,6 +96,9 @@ export default function EnterNameScreen() {
           </TouchableOpacity>
         </View>
 
+        {/* Setup Progress */}
+        <SetupProgressIndicator currentStep="name" />
+
         {/* Icon */}
         <View style={styles.iconContainer}>
           <View style={styles.iconCircle}>
diff --git a/app/(auth)/purchase.tsx b/app/(auth)/purchase.tsx
index 4a000b0..cb187a5 100644
--- a/app/(auth)/purchase.tsx
+++ b/app/(auth)/purchase.tsx
@@ -14,6 +14,7 @@ import { usePaymentSheet } from '@stripe/stripe-react-native';
 import { AppColors, Spacing, BorderRadius, FontSizes, FontWeights, Shadows } from '@/constants/theme';
 import { useAuth } from '@/contexts/AuthContext';
 import { api } from '@/services/api';
+import { SetupProgressIndicator } from '@/components/SetupProgressIndicator';
 import { LoadingSpinner } from '@/components/ui/LoadingSpinner';
 import { hasBeneficiaryDevices } from '@/services/BeneficiaryDetailController';
 
@@ -242,6 +243,9 @@ export default function PurchaseScreen() {
           <View style={styles.placeholder} />
         </View>
 
+        {/* Setup Progress */}
+        <SetupProgressIndicator currentStep="purchase" />
+
         {/* Product Card */}
         <View style={styles.productCard}>
           <View style={styles.productIcon}>
diff --git a/components/SetupProgressIndicator.tsx b/components/SetupProgressIndicator.tsx
new file mode 100644
index 0000000..c285f6a
--- /dev/null
+++ b/components/SetupProgressIndicator.tsx
@@ -0,0 +1,191 @@
+import React from 'react';
+import { View, Text, StyleSheet } from 'react-native';
+import { Ionicons } from '@expo/vector-icons';
+import {
+  AppColors,
+  BorderRadius,
+  FontSizes,
+  FontWeights,
+  Spacing,
+} from '@/constants/theme';
+
+export type SetupStep = 'name' | 'beneficiary' | 'purchase' | 'activate';
+
+interface SetupProgressIndicatorProps {
+  currentStep: SetupStep;
+  variant?: 'default' | 'compact';
+}
+
+interface StepConfig {
+  key: SetupStep;
+  label: string;
+  shortLabel: string;
+  icon: keyof typeof Ionicons.glyphMap;
+}
+
+const STEPS: StepConfig[] = [
+  { key: 'name', label: 'Your Name', shortLabel: 'Name', icon: 'person-outline' },
+  { key: 'beneficiary', label: 'Add Loved One', shortLabel: 'Person', icon: 'heart-outline' },
+  { key: 'purchase', label: 'Get Equipment', shortLabel: 'Equipment', icon: 'hardware-chip-outline' },
+  { key: 'activate', label: 'Connect', shortLabel: 'Connect', icon: 'wifi-outline' },
+];
+
+function getStepIndex(step: SetupStep): number {
+  return STEPS.findIndex((s) => s.key === step);
+}
+
+export function SetupProgressIndicator({
+  currentStep,
+  variant = 'default',
+}: SetupProgressIndicatorProps) {
+  const currentIndex = getStepIndex(currentStep);
+  const isCompact = variant === 'compact';
+
+  return (
+    <View style={styles.container}>
+      {/* Progress bar */}
+      <View style={styles.progressBarContainer}>
+        <View style={styles.progressBarTrack}>
+          <View
+            style={[
+              styles.progressBarFill,
+              { width: `${((currentIndex + 1) / STEPS.length) * 100}%` },
+            ]}
+          />
+        </View>
+      </View>
+
+      {/* Step indicators */}
+      <View style={styles.stepsContainer}>
+        {STEPS.map((step, index) => {
+          const isCompleted = index < currentIndex;
+          const isCurrent = index === currentIndex;
+          const isPending = index > currentIndex;
+
+          return (
+            <View key={step.key} style={styles.stepWrapper}>
+              {/* Step circle */}
+              <View
+                style={[
+                  styles.stepCircle,
+                  isCompleted && styles.stepCircleCompleted,
+                  isCurrent && styles.stepCircleCurrent,
+                  isPending && styles.stepCirclePending,
+                ]}
+              >
+                {isCompleted ? (
+                  <Ionicons
+                    name="checkmark"
+                    size={isCompact ? 12 : 14}
+                    color={AppColors.white}
+                  />
+                ) : (
+                  <Ionicons
+                    name={step.icon}
+                    size={isCompact ? 12 : 14}
+                    color={isCurrent ? AppColors.white : AppColors.textMuted}
+                  />
+                )}
+              </View>
+
+              {/* Step label */}
+              {!isCompact && (
+                <Text
+                  style={[
+                    styles.stepLabel,
+                    isCompleted && styles.stepLabelCompleted,
+                    isCurrent && styles.stepLabelCurrent,
+                    isPending && styles.stepLabelPending,
+                  ]}
+                  numberOfLines={1}
+                >
+                  {step.shortLabel}
+                </Text>
+              )}
+            </View>
+          );
+        })}
+      </View>
+
+      {/* Current step text */}
+      <Text style={styles.currentStepText}>
+        Step {currentIndex + 1} of {STEPS.length}: {STEPS[currentIndex].label}
+      </Text>
+    </View>
+  );
+}
+
+const styles = StyleSheet.create({
+  container: {
+    paddingHorizontal: Spacing.md,
+    paddingVertical: Spacing.md,
+    backgroundColor: AppColors.surface,
+    borderRadius: BorderRadius.lg,
+    marginBottom: Spacing.lg,
+  },
+  progressBarContainer: {
+    marginBottom: Spacing.md,
+  },
+  progressBarTrack: {
+    height: 4,
+    backgroundColor: AppColors.borderLight,
+    borderRadius: BorderRadius.full,
+    overflow: 'hidden',
+  },
+  progressBarFill: {
+    height: '100%',
+    backgroundColor: AppColors.primary,
+    borderRadius: BorderRadius.full,
+  },
+  stepsContainer: {
+    flexDirection: 'row',
+    justifyContent: 'space-between',
+    marginBottom: Spacing.sm,
+  },
+  stepWrapper: {
+    alignItems: 'center',
+    flex: 1,
+  },
+  stepCircle: {
+    width: 28,
+    height: 28,
+    borderRadius: 14,
+    alignItems: 'center',
+    justifyContent: 'center',
+    marginBottom: Spacing.xs,
+  },
+  stepCircleCompleted: {
+    backgroundColor: AppColors.success,
+  },
+  stepCircleCurrent: {
+    backgroundColor: AppColors.primary,
+  },
+  stepCirclePending: {
+    backgroundColor: AppColors.backgroundSecondary,
+    borderWidth: 1,
+    borderColor: AppColors.border,
+  },
+  stepLabel: {
+    fontSize: FontSizes.xs,
+    textAlign: 'center',
+  },
+  stepLabelCompleted: {
+    color: AppColors.success,
+    fontWeight: FontWeights.medium,
+  },
+  stepLabelCurrent: {
+    color: AppColors.primary,
+    fontWeight: FontWeights.semibold,
+  },
+  stepLabelPending: {
+    color: AppColors.textMuted,
+  },
+  currentStepText: {
+    fontSize: FontSizes.sm,
+    color: AppColors.textSecondary,
+    textAlign: 'center',
+    fontWeight: FontWeights.medium,
+  },
+});
+
+export default SetupProgressIndicator;
diff --git a/jest.setup.js b/jest.setup.js
index ad88e12..c7a3a5e 100644
--- a/jest.setup.js
+++ b/jest.setup.js
@@ -11,10 +11,32 @@ jest.mock('expo-modules-core', () => ({
   NativeModulesProxy: {},
   requireNativeViewManager: jest.fn(),
   requireNativeModule: jest.fn(),
+  requireOptionalNativeModule: jest.fn(() => null),
   EventEmitter: class EventEmitter {},
   UnavailabilityError: class UnavailabilityError extends Error {},
 }));
 
+// Mock @expo/vector-icons
+jest.mock('@expo/vector-icons', () => {
+  const React = require('react');
+  const MockIcon = (props) => React.createElement('Text', props, props.name);
+  return {
+    Ionicons: MockIcon,
+    MaterialIcons: MockIcon,
+    FontAwesome: MockIcon,
+    Feather: MockIcon,
+    AntDesign: MockIcon,
+    Entypo: MockIcon,
+    EvilIcons: MockIcon,
+    Foundation: MockIcon,
+    MaterialCommunityIcons: MockIcon,
+    Octicons: MockIcon,
+    SimpleLineIcons: MockIcon,
+    Zocial: MockIcon,
+    createIconSet: jest.fn(() => MockIcon),
+  };
+});
+
 // Mock expo winter runtime
 global.__ExpoImportMetaRegistry = {
   register: jest.fn(),