diff --git a/docker/compose/withPostgres/.env b/docker/compose/withPostgres/.env
new file mode 100644
index 0000000000..f0d73042d4
--- /dev/null
+++ b/docker/compose/withPostgres/.env
@@ -0,0 +1,6 @@
+POSTGRES_USER=adminuser
+POSTGRES_PASSWORD=JvsjjAYg12FJ90sdCBdsh322V
+POSTGRES_DB=n8n
+
+POSTGRES_NON_ROOT_USER=n8nuser
+POSTGRES_NON_ROOT_PASSWORD=PLsQ8vHGShwDFdmSssb
diff --git a/docker/compose/withPostgres/README.md b/docker/compose/withPostgres/README.md
new file mode 100644
index 0000000000..9bf36c06b7
--- /dev/null
+++ b/docker/compose/withPostgres/README.md
@@ -0,0 +1,26 @@
+# n8n with PostgreSQL
+
+Starts n8n with PostgreSQL as database.
+
+
+## Start
+
+To start n8n with PostgreSQL simply start docker-compose by executing the following
+command in the current folder.
+
+
+**IMPORTANT:** But before you do that change the default users and passwords in the [`.env`](.env) file!
+
+```
+docker-compose up -d
+```
+
+To stop it execute:
+
+```
+docker-compose stop
+```
+
+## Configuration
+
+The default name of the database, user and password for PostgreSQL can be changed in the [`.env`](.env) file in the current directory.
diff --git a/docker/compose/withPostgres/docker-compose.yml b/docker/compose/withPostgres/docker-compose.yml
new file mode 100644
index 0000000000..debb2f9b52
--- /dev/null
+++ b/docker/compose/withPostgres/docker-compose.yml
@@ -0,0 +1,35 @@
+version: '3.1'
+
+services:
+
+  postgres:
+    image: postgres:11
+    restart: always
+    environment:
+      - POSTGRES_USER
+      - POSTGRES_PASSWORD
+      - POSTGRES_DB
+      - POSTGRES_NON_ROOT_USER
+      - POSTGRES_NON_ROOT_PASSWORD
+    volumes:
+      - ./init-data.sh:/docker-entrypoint-initdb.d/init-data.sh
+
+  n8n:
+    image: n8nio/n8n
+    restart: always
+    environment:
+      - DB_TYPE=postgresdb
+      - DB_POSTGRESDB_HOST=postgres
+      - DB_POSTGRESDB_PORT=5432
+      - DB_POSTGRESDB_DATABASE=${POSTGRES_DB}
+      - DB_POSTGRESDB_USER=${POSTGRES_NON_ROOT_USER}
+      - DB_POSTGRESDB_PASSWORD=${POSTGRES_NON_ROOT_PASSWORD}
+    ports:
+      - 5678:5678
+    links:
+      - postgres
+    volumes:
+      - ~/.n8n:/root/.n8n
+    # Wait 5 seconds to start n8n to make sure that PostgreSQL is ready
+    # when n8n tries to connect to it
+    command: /bin/sh -c "sleep 5; n8n start"
diff --git a/docker/compose/withPostgres/init-data.sh b/docker/compose/withPostgres/init-data.sh
new file mode 100755
index 0000000000..69a8d79e1e
--- /dev/null
+++ b/docker/compose/withPostgres/init-data.sh
@@ -0,0 +1,12 @@
+#!/bin/bash
+set -e;
+
+
+if [ -n "${POSTGRES_NON_ROOT_USER:-}" ] && [ -n "${POSTGRES_NON_ROOT_PASSWORD:-}" ]; then
+	psql -v ON_ERROR_STOP=1 --username "$POSTGRES_USER" --dbname "$POSTGRES_DB" <<-EOSQL
+		CREATE USER ${POSTGRES_NON_ROOT_USER} WITH PASSWORD '${POSTGRES_NON_ROOT_PASSWORD}';
+		GRANT ALL PRIVILEGES ON DATABASE ${POSTGRES_DB} TO ${POSTGRES_NON_ROOT_USER};
+	EOSQL
+else
+	echo "SETUP INFO: No Environment variables given!"
+fi
diff --git a/docker/images/n8n/README.md b/docker/images/n8n/README.md
index fce5936dee..255d876abf 100644
--- a/docker/images/n8n/README.md
+++ b/docker/images/n8n/README.md
@@ -136,14 +136,16 @@ docker run -it --rm \
 	-e DB_TYPE=postgresdb \
 	-e DB_POSTGRESDB_DATABASE=<POSTGRES_DATABASE> \
 	-e DB_POSTGRESDB_HOST=<POSTGRES_HOST> \
-	-e DB_POSTGRESDB_PASSWORD=<POSTGRES_PASSWORD> \
 	-e DB_POSTGRESDB_PORT=<POSTGRES_PORT> \
 	-e DB_POSTGRESDB_USER=<POSTGRES_USER> \
+	-e DB_POSTGRESDB_PASSWORD=<POSTGRES_PASSWORD> \
   -v ~/.n8n:/root/.n8n \
   n8nio/n8n \
   n8n start
 ```
 
+A full working setup with docker-compose can be found [here](../../compose/withPostgres/README.md)
+
 
 ## Passing Senstive Data via File