Setup MikroTik as L2TP/IPSec VPN Server

This is a brief guide on how to implement an L2TP/IPSec VPN server on Mikrotik RouterOS and use it as a gateway.

Change these to fit your setup:

  • This router’s local IP address: 172.31.1.1/20
  • WAN connection is PPPoE with the name ether1-GTW.
    If you use PPPoE, use the name of your PPPoE connection. If you use static configuration or DHCP client as WAN, use the name of that interface.
  • Pool name for VPN clients is vpn-pool and gives addresses 172.31.2.1-172.31.2.9
  • VPN profile: vpn-profile
  • VPN username: remoteuser
  • VPN password: yourpassword
  • L2TP secret: yourl2tpsecret

Remember that it’s always a good practice to use a strong password and secret.

Let’s create a pool of addresses that VPN clients will get once connected:

/ip pool add name=vpn-pool ranges=172.31.2.1-172.31.2.9

Then create a VPN profile that will determine the IP addresses of the router, VPN clients, and DNS server. You can set it to be outside of the local subnet, but make sure that your firewall allows the connection:

/ppp profile add change-tcp-mss=yes local-address=172.31.1.1 name=vpn-profile remote-address=vpn-pool dns-server=172.31.1.1 use-encryption=yes

We can now create VPN users:

/ppp secret add name="yourusername" password="yourpassword" profile=vpn-profile service=any

Configure IPSec settings, i.e. encryption standards, L2TP secret, who can connect, NAT traversal:

/ip ipsec peer add address=0.0.0.0/0 exchange-mode=main-l2tp nat-traversal=yes generate-policy=port-override secret="yourl2tpsecret" enc-algorithm=aes-128,3des
/ip ipsec proposal set [ find default=yes ] enc-algorithms=aes-128-cbc,3des

Now that everything is in place, we can simply enable the VPN server and choose the right profile:

/interface l2tp-server server set authentication=mschap2 default-profile=vpn-profile enabled=yes max-mru=1460 max-mtu=1460 use-ipsec=yes

If you have a firewall rule that blocks all traffic, you can add these additional rules to allow L2TP/IPSec to pass through the WAN interface:

/ip firewall filter
add chain=input action=accept comment="VPN L2TP UDP 500" in-interface=ether1-GTW protocol=udp dst-port=500 
add chain=input action=accept comment="VPN L2TP UDP 1701" in-interface=ether1-GTW protocol=udp dst-port=1701
add chain=input action=accept comment="VPN L2TP 4500" in-interface=ether1-GTW protocol=udp dst-port=4500
add chain=input action=accept comment="VPN L2TP ESP" in-interface=ether1-GTW protocol=ipsec-esp
add chain=input action=accept comment="VPN L2TP AH" in-interface=ether1-GTW protocol=ipsec-ah

[Optional Configurations]

To use MikroTik VPN Server as Gateway so the VPN clients will have MikroTik’s public IP, you can simply masquerade:

/ip firewall nat add chain=srcnat out-interface=ether1-GTW action=masquerade

Allow DNS Remote Requests:

/ip dns set allow-remote-requests=yes

I tested this on Amazon Elastic Compute Cloud (EC2), using t2.micro instance and it worked perfectly fine for me.

I hope this guide works for you, feel free to post any questions or comments down below.