diff --git a/libs/design-system/button-toggle/README.md b/libs/design-system/button-toggle/README.md
new file mode 100644
index 000000000..09bf81768
--- /dev/null
+++ b/libs/design-system/button-toggle/README.md
@@ -0,0 +1,3 @@
+# @hra-ui/design-system/button-toggle
+
+Secondary entry point of `@hra-ui/design-system`. It can be used by importing from `@hra-ui/design-system/button-toggle`.
diff --git a/libs/design-system/button-toggle/ng-package.json b/libs/design-system/button-toggle/ng-package.json
new file mode 100644
index 000000000..c781f0df4
--- /dev/null
+++ b/libs/design-system/button-toggle/ng-package.json
@@ -0,0 +1,5 @@
+{
+  "lib": {
+    "entryFile": "src/index.ts"
+  }
+}
diff --git a/libs/design-system/button-toggle/src/index.ts b/libs/design-system/button-toggle/src/index.ts
new file mode 100644
index 000000000..e194182f8
--- /dev/null
+++ b/libs/design-system/button-toggle/src/index.ts
@@ -0,0 +1 @@
+export * from './lib/providers';
diff --git a/libs/design-system/button-toggle/src/lib/button-toggle-size/button-toggle-size.directive.ts b/libs/design-system/button-toggle/src/lib/button-toggle-size/button-toggle-size.directive.ts
new file mode 100644
index 000000000..0350a3b8b
--- /dev/null
+++ b/libs/design-system/button-toggle/src/lib/button-toggle-size/button-toggle-size.directive.ts
@@ -0,0 +1,50 @@
+import { computed, Directive, input } from '@angular/core';
+
+/** Input options for icon button size */
+export type IconButtonSize = 'medium' | 'large';
+
+/** Interface for ButtonToggle Config */
+interface ButtonToggleConfig {
+  /** Line height of the button */
+  lineHeight: number;
+  /** Font variable of the button toggle */
+  font: string;
+}
+
+/** Record of button sizes (number in rem) */
+const BUTTON_CONFIG: Record<IconButtonSize, ButtonToggleConfig> = {
+  medium: {
+    lineHeight: 21,
+    font: '--sys-label-medium',
+  },
+  large: {
+    lineHeight: 24,
+    font: '--sys-label-large',
+  },
+};
+
+/**
+ * Directive for icon buttons
+ */
+@Directive({
+  selector: '[hraButtonToggleSize]',
+  standalone: true,
+  host: {
+    '[style.--mat-standard-button-toggle-height]': 'lineHeight()',
+    '[style.--mat-standard-button-toggle-label-text-line-height]': 'lineHeight()',
+    '[style.font]': 'fontVar()',
+  },
+})
+export class ToggleButtonSizeDirective {
+  /** Size of icon button to use */
+  readonly size = input.required<IconButtonSize>({ alias: 'hraButtonToggleSize' });
+
+  /** Gets size of button in rem */
+  protected readonly buttonSize = computed(() => BUTTON_CONFIG[this.size()]);
+
+  /** Gets the font variable for the current button size */
+  protected readonly fontVar = computed(() => `var(${BUTTON_CONFIG[this.size()].font})`);
+
+  /** Gets the line height for the current button size */
+  protected readonly lineHeight = computed(() => `${BUTTON_CONFIG[this.size()].lineHeight}px`);
+}
diff --git a/libs/design-system/button-toggle/src/lib/button-toggle-styles/button-toggle-styles.component.scss b/libs/design-system/button-toggle/src/lib/button-toggle-styles/button-toggle-styles.component.scss
new file mode 100644
index 000000000..4d3196477
--- /dev/null
+++ b/libs/design-system/button-toggle/src/lib/button-toggle-styles/button-toggle-styles.component.scss
@@ -0,0 +1,43 @@
+mat-button-toggle-group {
+  --mat-standard-button-toggle-shape: 0.25rem;
+  --mat-standard-button-toggle-divider-color: var(--sys-primary);
+  --mat-standard-button-toggle-selected-state-background-color: var(--sys-tertiary);
+  --mat-standard-button-toggle-selected-state-text-color: var(--sys-on-primary);
+  --mat-standard-button-toggle-hover-state-layer-opacity: 0.04;
+  width: 100%;
+
+  &.mat-button-toggle-group-appearance-standard {
+    border: unset;
+    outline: solid 1px var(--mat-standard-button-toggle-divider-color);
+  }
+
+  .mat-button-toggle {
+    width: 100%;
+
+    &:active {
+      --mat-standard-button-toggle-hover-state-layer-opacity: 0.08;
+    }
+  }
+
+  .mat-button-toggle:not(.mat-button-toggle-checked) .mat-button-toggle-button {
+    padding: 0.5rem 1.15rem;
+  }
+
+  .mat-button-toggle.mat-button-toggle-checked .mat-button-toggle-button {
+    padding: 0.5rem 0.2rem;
+  }
+
+  &[hraButtonToggleSize='medium'] {
+    .mat-button-toggle:not(.mat-button-toggle-checked) .mat-button-toggle-button {
+      padding: 0.3438rem 1.15rem;
+    }
+
+    .mat-button-toggle.mat-button-toggle-checked .mat-button-toggle-button {
+      padding: 0.3438rem 0.2rem;
+    }
+
+    .mat-button-toggle .mat-button-toggle-label-content {
+      vertical-align: middle;
+    }
+  }
+}
diff --git a/libs/design-system/button-toggle/src/lib/button-toggle-styles/button-toggle-styles.component.ts b/libs/design-system/button-toggle/src/lib/button-toggle-styles/button-toggle-styles.component.ts
new file mode 100644
index 000000000..9f1a2c490
--- /dev/null
+++ b/libs/design-system/button-toggle/src/lib/button-toggle-styles/button-toggle-styles.component.ts
@@ -0,0 +1,14 @@
+import { ChangeDetectionStrategy, Component, ViewEncapsulation } from '@angular/core';
+
+/**
+ * Applies button toggle styles globally
+ */
+@Component({
+  selector: 'hra-button-toggle-styles',
+  standalone: true,
+  template: '',
+  styleUrls: ['./button-toggle-styles.component.scss'],
+  encapsulation: ViewEncapsulation.None,
+  changeDetection: ChangeDetectionStrategy.OnPush,
+})
+export class ButtonToggleStylesComponent {}
diff --git a/libs/design-system/button-toggle/src/lib/button-toggle.component.stories.ts b/libs/design-system/button-toggle/src/lib/button-toggle.component.stories.ts
new file mode 100644
index 000000000..42a59416b
--- /dev/null
+++ b/libs/design-system/button-toggle/src/lib/button-toggle.component.stories.ts
@@ -0,0 +1,69 @@
+import { applicationConfig, Meta, moduleMetadata, StoryObj } from '@storybook/angular';
+import { MatButtonToggleModule } from '@angular/material/button-toggle';
+import { provideButtonToggle } from './providers';
+import { ToggleButtonSizeDirective } from './button-toggle-size/button-toggle-size.directive';
+const meta: Meta = {
+  title: 'ButtonToggleComponent',
+  parameters: {
+    design: {
+      type: 'figma',
+      url: 'https://www.figma.com/design/BCEJn9KCIbBJ5MzqnojKQp/Design-System-Components?node-id=853-284',
+    },
+  },
+  decorators: [
+    applicationConfig({
+      providers: [provideButtonToggle()],
+    }),
+    moduleMetadata({
+      imports: [MatButtonToggleModule, ToggleButtonSizeDirective],
+    }),
+  ],
+};
+export default meta;
+type Story = StoryObj;
+
+export const SingleSelect: Story = {
+  args: {
+    size: 'large',
+  },
+  argTypes: {
+    size: {
+      control: 'select',
+      options: ['medium', 'large'],
+    },
+  },
+  render: (args) => ({
+    props: args,
+    template: `
+      <mat-button-toggle-group name="singleSelect" aria-label="Single Select"
+      hraButtonToggleSize="${args['size']}">
+        <mat-button-toggle disableRipple value="button1" checked>Button</mat-button-toggle>
+        <mat-button-toggle disableRipple value="button2">Button</mat-button-toggle>
+        <mat-button-toggle disableRipple disabled value="button3">Button</mat-button-toggle>
+      </mat-button-toggle-group>
+    `,
+  }),
+};
+
+export const MultiSelect: Story = {
+  args: {
+    size: 'large',
+  },
+  argTypes: {
+    size: {
+      control: 'select',
+      options: ['medium', 'large'],
+    },
+  },
+  render: (args) => ({
+    props: args,
+    template: `
+      <mat-button-toggle-group multiple name="multiSelect" aria-label="Multi Select"
+      hraButtonToggleSize="${args['size']}">
+        <mat-button-toggle disableRipple value="button1" checked>Button</mat-button-toggle>
+        <mat-button-toggle disableRipple value="button2">Button</mat-button-toggle>
+        <mat-button-toggle disableRipple value="button3">Button</mat-button-toggle>
+      </mat-button-toggle-group>
+    `,
+  }),
+};
diff --git a/libs/design-system/button-toggle/src/lib/providers.ts b/libs/design-system/button-toggle/src/lib/providers.ts
new file mode 100644
index 000000000..f489b1f55
--- /dev/null
+++ b/libs/design-system/button-toggle/src/lib/providers.ts
@@ -0,0 +1,10 @@
+import { EnvironmentProviders, makeEnvironmentProviders } from '@angular/core';
+import { provideStyleComponents } from '@hra-ui/cdk/styling';
+import { ButtonToggleStylesComponent } from './button-toggle-styles/button-toggle-styles.component';
+
+/**
+ * Returns providers for button toggle
+ */
+export function provideButtonToggle(): EnvironmentProviders {
+  return makeEnvironmentProviders([provideStyleComponents(ButtonToggleStylesComponent)]);
+}
diff --git a/tsconfig.base.json b/tsconfig.base.json
index 5a5c9fd6f..2fb91e8bc 100644
--- a/tsconfig.base.json
+++ b/tsconfig.base.json
@@ -77,6 +77,9 @@
       "@hra-ui/design-system/button": [
         "libs/design-system/button/src/index.ts"
       ],
+      "@hra-ui/design-system/button-toggle": [
+        "libs/design-system/button-toggle/src/index.ts"
+      ],
       "@hra-ui/design-system/footer": [
         "libs/design-system/footer/src/index.ts"
       ],