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How to Use MCP to Manage Projects from Claude, Cursor & VS Code

A step-by-step guide to connecting PlanIT's MCP server to your AI tools so you can create issues, update statuses, and query your backlog without leaving your editor.

Etay NirMay 20, 20266 min read
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What is MCP and why does it matter for project management?

Model Context Protocol (MCP) is an open standard that lets AI tools read from and write to external services using a structured interface. Think of it as a USB-C port for AI integrations: one standard that works across Claude, Cursor, VS Code, and other MCP-compatible tools.

For project management, MCP means your AI assistant can access your actual project data — open issues, sprint goals, backlog items — instead of relying on context you paste in manually. PlanIT ships with a native MCP server that exposes your team's project state to any connected AI tool.

This guide walks through the exact steps to connect PlanIT's MCP server and shows you what becomes possible once it's running. For background on why PlanIT was built around MCP from the start, see Why We Built PlanIT.

Prerequisites

Before starting, you need:

  • A PlanIT account (free tier works; sign up here)
  • One or more of: Claude Desktop, Cursor, or VS Code with a compatible AI extension
  • Your PlanIT MCP API key (found in Settings → Integrations → MCP)

Step 1: Get your MCP credentials

Log into PlanIT and navigate to Settings → Integrations → MCP. You'll see your MCP server URL and API key. Copy both — you'll need them in the configuration steps below.

The MCP server URL follows this pattern:

https://mcp.useplanit.com/v1

Your API key is a long alphanumeric string specific to your account.

Step 2: Connect Claude Desktop

Claude Desktop supports MCP servers through its configuration file. Open or create the config file at:

  • macOS: ~/Library/Application Support/Claude/claude_desktop_config.json
  • Windows: %APPDATA%\Claude\claude_desktop_config.json

Add the PlanIT server to the mcpServers object:

{
  "mcpServers": {
    "planit": {
      "command": "npx",
      "args": ["-y", "@plan-it/mcp-server"],
      "env": {
        "PLANIT_API_KEY": "your-api-key-here"
      }
    }
  }
}

Save the file and restart Claude Desktop. You'll see a hammer icon in the chat interface indicating MCP tools are available.

Step 3: Connect Cursor

Cursor supports MCP through its settings panel. Open Cursor and go to Settings → MCP. Click "Add MCP Server" and enter:

  • Name: PlanIT
  • Command: npx -y @plan-it/mcp-server
  • Environment variables: PLANIT_API_KEY=your-api-key-here

Save and reload. Cursor will show PlanIT as an available MCP server in your tool panel.

Step 4: Connect VS Code

VS Code MCP support depends on your AI extension. For extensions that support MCP (GitHub Copilot with MCP mode, Continue, and others), add to your .vscode/settings.json:

{
  "mcp.servers": {
    "planit": {
      "command": "npx",
      "args": ["-y", "@plan-it/mcp-server"],
      "env": {
        "PLANIT_API_KEY": "your-api-key-here"
      }
    }
  }
}

Check your specific extension's documentation for MCP server configuration details — the exact key names may vary.

What you can do once connected

With the MCP server running, your AI tool gains the following capabilities:

Query your backlog

What are the open issues in the current sprint?

Claude will call the PlanIT MCP server, fetch your active sprint issues, and summarize them. No copy-pasting required.

Create issues from conversation

Create an issue for the auth token refresh bug we just found. 
Priority: high. Assign it to the backend project.

PlanIT creates the issue and returns the issue ID (e.g., PL-142) so you can reference it later.

Update issue status

Mark PL-138 as in progress — I'm starting work on it now.

The status updates in PlanIT in real time. Your teammates see the change immediately.

Log implementation details

Add a comment to PL-138: Implemented using exponential backoff, 
max 3 retries. Edge case: tokens issued before 2026-01-01 
need manual migration.

Implementation notes that would otherwise live only in your terminal or be forgotten entirely now exist in the project record.

Check project state before starting work

What's the highest-priority unassigned issue in the backend project?

This is particularly useful at the start of a work session. Instead of opening PlanIT in a browser tab, you ask Claude and get a direct answer.

A realistic workflow example

Here's what a typical development session looks like with MCP connected:

Start of session — in Claude:

What should I work on today? Check the current sprint in PlanIT 
and give me the highest-priority item that's not yet in progress.

Claude queries PlanIT, identifies PL-151 (add rate limiting to the API), and summarizes the issue description and acceptance criteria.

During coding — in Cursor: As you work, you stay in Cursor. When you hit a question about the requirements, you ask directly:

What are the acceptance criteria for PL-151?

Cursor fetches the issue and displays the criteria in context.

After a commit — in Claude:

I've implemented the rate limiting middleware. Update PL-151 status 
to "in review" and add a comment: middleware is at api/middleware/rate-limit.ts, 
uses sliding window, 100 req/min per user.

The project record is updated without leaving the conversation.

End of session:

I finished PL-151 and started PL-152. Update both accordingly.

Done. No browser context-switching required.

Troubleshooting common issues

"MCP server not found" in Claude Desktop

Check that Node.js is installed (node --version). The npx command requires Node.js. If it's missing, install it from nodejs.org.

"Authentication failed" error

Verify your API key is correct. Keys can be regenerated in PlanIT Settings → Integrations → MCP. Make sure there are no trailing spaces in the environment variable value.

Tools appear but return empty results

Confirm you have at least one project in PlanIT with issues. The MCP server returns data for the workspace associated with your API key — if your workspace has no data, queries return empty.

Cursor shows MCP server as disconnected

Try reloading Cursor (Cmd+Shift+P → "Reload Window"). MCP server connections sometimes need a fresh window after configuration changes.

What's next

Once your MCP connection is working, explore the full list of available commands in your PlanIT dashboard under Settings → Integrations → MCP → Command Reference. The list grows with each PlanIT release.

The highest-leverage workflow change is forming the habit of starting each coding session with a project state query instead of a blank slate. Once that becomes automatic, you'll find the AI consistently gives better-targeted suggestions because it actually knows what you're trying to accomplish.

PlanIT's MCP integration is available on all plans — see the integrations page for the full list of supported AI tools, and the pricing page for plan details.

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