diff --git a/.github/workflows/run-checks.yml b/.github/workflows/run-checks.yml
index 298d118..79034ac 100644
--- a/.github/workflows/run-checks.yml
+++ b/.github/workflows/run-checks.yml
@@ -17,22 +17,14 @@ jobs:
     runs-on: ubuntu-latest
     strategy:
       matrix:
-        include:
-          - environment: "py36"
-            python: "3.6"
-          - environment: "py37"
-            python: "3.7"
-          - environment: "py38"
-            python: "3.8"
+        python: ["3.8", "3.9", "3.10", "3.11", "3.12"]
 
     steps:
-      - uses: actions/checkout@v2
-      - uses: actions/setup-python@v2
+      - uses: actions/checkout@v4
+      - uses: actions/setup-python@v5
         with:
           python-version: ${{ matrix.python }}
       - name: Install tox
-        run: |
-          python -m pip install --upgrade pip
-          python -m pip install tox
+        run: pip install tox
       - name: Run tox
         run: tox -e py
diff --git a/README.md b/README.md
index d7f536c..4b17ce5 100644
--- a/README.md
+++ b/README.md
@@ -47,21 +47,21 @@ There you go - you just created a minimal pytest plugin:
 pytest-awesome/
 ├── LICENSE
 ├── README.rst
-├── docs
-│   └── index.md
-├── mkdocs.yml
-├── pytest_awesome.py
-├── setup.py
+├── pyproject.toml
+├── src
+│   └── pytest_awesome
+│       ├── __init__.py
+│       └── plugin.py
 ├── tests
-│   ├── conftest.py
-│   └── test_awesome.py
+│   ├── conftest.py
+│   └── test_awesome.py
 └── tox.ini
 ```
 
 
 ## Features
 
-- Installable [PyPI] package featuring a `setup.py`.
+- Installable [PyPI] package featuring a `pyproject.toml`.
 - Test suite running [tox] and [pytest] that makes sure your plugin is working
   as expected
 - Working example code for a fixture, a cli option, as well as a pytest.ini
@@ -78,15 +78,13 @@ pytest-awesome/
 If you plan on submitting your plugin to the [pytest-dev organization] you need
 to meet the following requirements:
 
--   PyPI presence with a setup.py that contains a license, pytest-
+-   PyPI presence with a pyproject.toml that contains a license, pytest-
     prefixed, version number, authors, short and long description.
 -   a tox.ini for running tests using tox.
 -   a README describing how to use the plugin and on which platforms
     it runs.
--   a LICENSE file or equivalent containing the licensing information,
-    with matching info in setup.py.
--   an issue tracker unless you rather want to use the core pytest
-    issue tracker.
+-   a LICENSE file or equivalent containing the licensing information.
+-   an issue tracker
 
 Please see the official guidelines at [Submit a Plugin].
 
diff --git a/cookiecutter.json b/cookiecutter.json
index 8c19c77..61cbb8e 100644
--- a/cookiecutter.json
+++ b/cookiecutter.json
@@ -6,7 +6,7 @@
     "module_name": "{{ cookiecutter.plugin_name|lower|replace('-', '_') }}",
     "short_description": "A simple plugin to use with pytest",
     "version": "0.1.0",
-    "pytest_version": "3.5.0",
+    "pytest_version": "6.2.0",
     "docs_tool": [
         "mkdocs",
         "sphinx",
diff --git a/docs/user-guide/publish-plugin.md b/docs/user-guide/publish-plugin.md
index 8f2cc88..7900805 100644
--- a/docs/user-guide/publish-plugin.md
+++ b/docs/user-guide/publish-plugin.md
@@ -6,8 +6,7 @@ Essentially pytest plugins are not different from any other Python Package, so
 you may want to create a distribution and submit it to the Python Package Index
 ([PyPI]).
 
-By doing so, enables your users to easily install via ``easy-install`` or
-``pip``.
+By doing so, enables your users to easily install via ``pip``.
 
 ## Python Package Index
 
@@ -24,15 +23,13 @@ Please see the official [Python Packaging User Guide] for detailed information.
 If you plan on submitting your plugin to the [pytest-dev organization] you need
 to meet the following requirements:
 
--   PyPI presence with a setup.py that contains a license, pytest-
+-   PyPI presence with a pyproject.toml that contains a license, pytest-
     prefixed, version number, authors, short and long description.
 -   a tox.ini for running tests using tox.
 -   a README describing how to use the plugin and on which platforms
     it runs.
--   a LICENSE file or equivalent containing the licensing information,
-    with matching info in setup.py.
--   an issue tracker unless you rather want to use the core pytest
-    issue tracker.
+-   a LICENSE file or equivalent containing the licensing information.
+-   an issue tracker.
 
 Please see the official guidelines at [Submit a Plugin].
 
diff --git a/docs/user-guide/quickstart.md b/docs/user-guide/quickstart.md
index 6848698..197fd96 100644
--- a/docs/user-guide/quickstart.md
+++ b/docs/user-guide/quickstart.md
@@ -53,11 +53,14 @@ Once you answered to the questions, Cookiecutter renders the the project:
 pytest-awesome/
 ├── LICENSE
 ├── README.rst
-├── pytest_awesome.py
-├── setup.py
+├── pyproject.toml
+├── src
+│   └── pytest_awesome
+│       ├── __init__.py
+│       └── plugin.py
 ├── tests
-│   ├── conftest.py
-│   └── test_awesome.py
+│   ├── conftest.py
+│   └── test_awesome.py
 └── tox.ini
 ```
 
diff --git a/hooks/post_gen_project.py b/hooks/post_gen_project.py
index a300dd3..e93cf0c 100644
--- a/hooks/post_gen_project.py
+++ b/hooks/post_gen_project.py
@@ -1,5 +1,4 @@
 #!/usr/bin/env python
-# -*- coding: utf-8 -*-
 
 import logging
 import os
diff --git a/hooks/pre_gen_project.py b/hooks/pre_gen_project.py
index 6f61736..283d67e 100644
--- a/hooks/pre_gen_project.py
+++ b/hooks/pre_gen_project.py
@@ -1,5 +1,4 @@
 #!/usr/bin/env python
-# -*- coding: utf-8 -*-
 
 import logging
 import re
diff --git a/pytest-{{cookiecutter.plugin_name}}/MANIFEST.in b/pytest-{{cookiecutter.plugin_name}}/MANIFEST.in
deleted file mode 100644
index 1ade348..0000000
--- a/pytest-{{cookiecutter.plugin_name}}/MANIFEST.in
+++ /dev/null
@@ -1,5 +0,0 @@
-include LICENSE
-include README.rst
-
-recursive-exclude * __pycache__
-recursive-exclude * *.py[co]
diff --git a/pytest-{{cookiecutter.plugin_name}}/appveyor.yml b/pytest-{{cookiecutter.plugin_name}}/appveyor.yml
index 61bdd15..f22b384 100644
--- a/pytest-{{cookiecutter.plugin_name}}/appveyor.yml
+++ b/pytest-{{cookiecutter.plugin_name}}/appveyor.yml
@@ -1,40 +1,20 @@
-# What Python version is installed where:
-# https://www.appveyor.com/docs/build-environment/#python
+# https://www.appveyor.com/docs/lang/python/
+---
+image:
+  - Visual Studio 2019
 
 environment:
   matrix:
-    - PYTHON: "C:\\Python35"
-      TOX_ENV: "py35"
+    - TOXENV: "py38"
+    - TOXENV: "py39"
+    - TOXENV: "py310"
+    - TOXENV: "py311"
+    - TOXENV: "py312"
 
-    - PYTHON: "C:\\Python36"
-      TOX_ENV: "py36"
-
-    - PYTHON: "C:\\Python37"
-      TOX_ENV: "py37"
-
-    - PYTHON: "C:\\Python38"
-      TOX_ENV: "py38"
-
-init:
-  - "%PYTHON%/python -V"
-  - "%PYTHON%/python -c \"import struct;print( 8 * struct.calcsize(\'P\'))\""
+build: false
 
 install:
-  - "%PYTHON%/Scripts/easy_install -U pip"
-  - "%PYTHON%/Scripts/pip install tox"
-  - "%PYTHON%/Scripts/pip install wheel"
-
-build: false  # Not a C# project, build stuff at the test step instead.
+  - py -m pip install tox
 
 test_script:
-  - "%PYTHON%/Scripts/tox -e %TOX_ENV%"
-
-after_test:
-  - "%PYTHON%/python setup.py bdist_wheel"
-  - ps: "ls dist"
-
-artifacts:
-  - path: dist\*
-
-#on_success:
-#  - TODO: upload the content of dist/*.whl to a public wheelhouse
+  - py -m tox
diff --git a/pytest-{{cookiecutter.plugin_name}}/docs_sources/sphinx/conf.py b/pytest-{{cookiecutter.plugin_name}}/docs_sources/sphinx/conf.py
index c334c03..4cb65f7 100644
--- a/pytest-{{cookiecutter.plugin_name}}/docs_sources/sphinx/conf.py
+++ b/pytest-{{cookiecutter.plugin_name}}/docs_sources/sphinx/conf.py
@@ -1,5 +1,3 @@
-# -*- coding: utf-8 -*-
-#
 # pytest-{{cookiecutter.plugin_name}} documentation build configuration file, created by
 # sphinx-quickstart on Thu Oct  1 00:43:18 2015.
 #
diff --git a/pytest-{{cookiecutter.plugin_name}}/pyproject.toml b/pytest-{{cookiecutter.plugin_name}}/pyproject.toml
new file mode 100644
index 0000000..c48c057
--- /dev/null
+++ b/pytest-{{cookiecutter.plugin_name}}/pyproject.toml
@@ -0,0 +1,53 @@
+[build-system]
+requires = [
+  "setuptools>=61.0.0",
+]
+build-backend = "setuptools.build_meta"
+
+[project]
+name = "pytest-{{cookiecutter.plugin_name}}"
+description = "{{cookiecutter.short_description}}"
+version = "{{cookiecutter.version}}"
+readme = "README.rst"
+requires-python = ">=3.8"
+authors = [
+    { name = "{{cookiecutter.full_name}}", email = "{{cookiecutter.email}}" },
+]
+maintainers = [
+    { name = "{{cookiecutter.full_name}}", email = "{{cookiecutter.email}}" },
+]
+license = {file = "LICENSE"}
+classifiers = [
+    "Framework :: Pytest",
+    "Development Status :: 4 - Beta",
+    "Intended Audience :: Developers",
+    "Topic :: Software Development :: Testing",
+    "Operating System :: OS Independent",
+    "Programming Language :: Python",
+    "Programming Language :: Python :: 3.8",
+    "Programming Language :: Python :: 3.9",
+    "Programming Language :: Python :: 3.10",
+    "Programming Language :: Python :: 3.11",
+    "Programming Language :: Python :: 3.12",
+    "Programming Language :: Python :: 3 :: Only",
+    "Programming Language :: Python :: Implementation :: CPython",
+    "Programming Language :: Python :: Implementation :: PyPy",
+    {% if cookiecutter.license == "MIT" -%}
+    "License :: OSI Approved :: MIT License",
+    {%- elif cookiecutter.license == "BSD-3" -%}
+    "License :: OSI Approved :: BSD License",
+    {%- elif cookiecutter.license == "GNU GPL v3.0+" -%}
+    "License :: OSI Approved :: GNU General Public License v3 or later (GPLv3+)",
+    {%- elif cookiecutter.license == "Apache Software License 2.0" -%}
+    "License :: OSI Approved :: Apache Software License",
+    {%- elif cookiecutter.license == "Mozilla Public License 2.0" -%}
+    "License :: OSI Approved :: Mozilla Public License 2.0 (MPL 2.0)",
+    {%- endif %}
+]
+dependencies = [
+    "pytest>={{cookiecutter.pytest_version}}",
+]
+[project.urls]
+Repository = "https://github.com/{{cookiecutter.github_username}}/pytest-{{cookiecutter.plugin_name}}"
+[project.entry-points.pytest11]
+django = "pytest_{{cookiecutter.module_name}}.plugin"
diff --git a/pytest-{{cookiecutter.plugin_name}}/setup.py b/pytest-{{cookiecutter.plugin_name}}/setup.py
deleted file mode 100644
index efa9ee6..0000000
--- a/pytest-{{cookiecutter.plugin_name}}/setup.py
+++ /dev/null
@@ -1,60 +0,0 @@
-#!/usr/bin/env python
-# -*- coding: utf-8 -*-
-
-import os
-import codecs
-from setuptools import setup
-
-
-def read(fname):
-    file_path = os.path.join(os.path.dirname(__file__), fname)
-    return codecs.open(file_path, encoding='utf-8').read()
-
-
-setup(
-    name='pytest-{{cookiecutter.plugin_name}}',
-    version='{{cookiecutter.version}}',
-    author='{{cookiecutter.full_name}}',
-    author_email='{{cookiecutter.email}}',
-    maintainer='{{cookiecutter.full_name}}',
-    maintainer_email='{{cookiecutter.email}}',
-    license='{{cookiecutter.license}}',
-    url='https://github.com/{{cookiecutter.github_username}}/pytest-{{cookiecutter.plugin_name}}',
-    description='{{cookiecutter.short_description}}',
-    long_description=read('README.rst'),
-    py_modules=['pytest_{{cookiecutter.module_name}}'],
-    python_requires='>=3.5',
-    install_requires=['pytest>={{cookiecutter.pytest_version}}'],
-    classifiers=[
-        'Development Status :: 4 - Beta',
-        'Framework :: Pytest',
-        'Intended Audience :: Developers',
-        'Topic :: Software Development :: Testing',
-        'Programming Language :: Python',
-        'Programming Language :: Python :: 3',
-        'Programming Language :: Python :: 3.5',
-        'Programming Language :: Python :: 3.6',
-        'Programming Language :: Python :: 3.7',
-        'Programming Language :: Python :: 3.8',
-        'Programming Language :: Python :: 3 :: Only',
-        'Programming Language :: Python :: Implementation :: CPython',
-        'Programming Language :: Python :: Implementation :: PyPy',
-        'Operating System :: OS Independent',
-        {% if cookiecutter.license == "MIT" -%}
-        'License :: OSI Approved :: MIT License',
-        {%- elif cookiecutter.license == "BSD-3" -%}
-        'License :: OSI Approved :: BSD License',
-        {%- elif cookiecutter.license == "GNU GPL v3.0+" -%}
-        'License :: OSI Approved :: GNU General Public License v3 or later (GPLv3+)',
-        {%- elif cookiecutter.license == "Apache Software License 2.0" -%}
-        'License :: OSI Approved :: Apache Software License',
-        {%- elif cookiecutter.license == "Mozilla Public License 2.0" -%}
-        'License :: OSI Approved :: Mozilla Public License 2.0 (MPL 2.0)',
-        {%- endif %}
-    ],
-    entry_points={
-        'pytest11': [
-            '{{cookiecutter.plugin_name}} = pytest_{{cookiecutter.module_name}}',
-        ],
-    },
-)
diff --git a/pytest-{{cookiecutter.plugin_name}}/src/pytest_{{cookiecutter.module_name}}/__init__.py b/pytest-{{cookiecutter.plugin_name}}/src/pytest_{{cookiecutter.module_name}}/__init__.py
new file mode 100644
index 0000000..e69de29
diff --git a/pytest-{{cookiecutter.plugin_name}}/pytest_{{cookiecutter.module_name}}.py b/pytest-{{cookiecutter.plugin_name}}/src/pytest_{{cookiecutter.module_name}}/plugin.py
similarity index 94%
rename from pytest-{{cookiecutter.plugin_name}}/pytest_{{cookiecutter.module_name}}.py
rename to pytest-{{cookiecutter.plugin_name}}/src/pytest_{{cookiecutter.module_name}}/plugin.py
index 4b95f95..48bce20 100644
--- a/pytest-{{cookiecutter.plugin_name}}/pytest_{{cookiecutter.module_name}}.py
+++ b/pytest-{{cookiecutter.plugin_name}}/src/pytest_{{cookiecutter.module_name}}/plugin.py
@@ -1,5 +1,3 @@
-# -*- coding: utf-8 -*-
-
 import pytest
 
 
diff --git a/pytest-{{cookiecutter.plugin_name}}/tests/test_{{cookiecutter.module_name}}.py b/pytest-{{cookiecutter.plugin_name}}/tests/test_{{cookiecutter.module_name}}.py
index 6fcfb4b..1600368 100644
--- a/pytest-{{cookiecutter.plugin_name}}/tests/test_{{cookiecutter.module_name}}.py
+++ b/pytest-{{cookiecutter.plugin_name}}/tests/test_{{cookiecutter.module_name}}.py
@@ -1,17 +1,14 @@
-# -*- coding: utf-8 -*-
-
-
-def test_bar_fixture(testdir):
+def test_bar_fixture(pytester):
     """Make sure that pytest accepts our fixture."""
 
     # create a temporary pytest test module
-    testdir.makepyfile("""
+    pytester.makepyfile("""
         def test_sth(bar):
             assert bar == "europython2015"
     """)
 
     # run pytest with the following cmd args
-    result = testdir.runpytest(
+    result = pytester.runpytest(
         '--foo=europython2015',
         '-v'
     )
@@ -25,8 +22,8 @@ def test_sth(bar):
     assert result.ret == 0
 
 
-def test_help_message(testdir):
-    result = testdir.runpytest(
+def test_help_message(pytester):
+    result = pytester.runpytest(
         '--help',
     )
     # fnmatch_lines does an assertion internally
@@ -36,13 +33,13 @@ def test_help_message(testdir):
     ])
 
 
-def test_hello_ini_setting(testdir):
-    testdir.makeini("""
+def test_hello_ini_setting(pytester):
+    pytester.makeini("""
         [pytest]
         HELLO = world
     """)
 
-    testdir.makepyfile("""
+    pytester.makepyfile("""
         import pytest
 
         @pytest.fixture
@@ -53,7 +50,7 @@ def test_hello_world(hello):
             assert hello == 'world'
     """)
 
-    result = testdir.runpytest('-v')
+    result = pytester.runpytest('-v')
 
     # fnmatch_lines does an assertion internally
     result.stdout.fnmatch_lines([
diff --git a/pytest-{{cookiecutter.plugin_name}}/tox.ini b/pytest-{{cookiecutter.plugin_name}}/tox.ini
index e99d0b0..19d93be 100644
--- a/pytest-{{cookiecutter.plugin_name}}/tox.ini
+++ b/pytest-{{cookiecutter.plugin_name}}/tox.ini
@@ -1,12 +1,12 @@
 # For more information about tox, see https://tox.readthedocs.io/en/latest/
 [tox]
-envlist = py35,py36,py37,py38,pypy3,flake8
+envlist = py38,py39,py310,py311,py312,pypy3,flake8
 
 [testenv]
-deps = pytest>=3.0
+deps = pytest>={{cookiecutter.pytest_version}}
 commands = pytest {posargs:tests}
 
 [testenv:flake8]
 skip_install = true
 deps = flake8
-commands = flake8 pytest_{{cookiecutter.module_name}}.py setup.py tests
+commands = flake8 src tests
diff --git a/tests/test_create_template.py b/tests/test_create_template.py
index cce4f46..55fb6a1 100644
--- a/tests/test_create_template.py
+++ b/tests/test_create_template.py
@@ -1,11 +1,3 @@
-# -*- coding: utf-8 -*-
-
-"""
-test_create_template
---------------------
-"""
-
-
 import os
 import pytest
 import subprocess
@@ -16,12 +8,12 @@ def run_tox(plugin):
     try:
         subprocess.check_call([
             'tox',
-            plugin,
+            '--workdir', plugin,
             '-c', os.path.join(plugin, 'tox.ini'),
-            '-e', 'py'
+            '-e', 'py',
         ])
     except subprocess.CalledProcessError as e:
-        pytest.fail(e)
+        pytest.fail(str(e))
 
 
 def test_run_cookiecutter_and_plugin_tests(cookies):
@@ -30,9 +22,10 @@ def test_run_cookiecutter_and_plugin_tests(cookies):
 
     assert result.exit_code == 0
     assert result.exception is None
-    assert result.project.basename == 'pytest-foo-bar'
-    assert result.project.isdir()
-    assert result.project.join('pytest_foo_bar.py').isfile()
-    assert result.project.join('tests', 'test_foo_bar.py').isfile()
+    assert result.project_path.name == 'pytest-foo-bar'
+    assert result.project_path.is_dir()
+    assert result.project_path.joinpath('src', 'pytest_foo_bar', '__init__.py').is_file()
+    assert result.project_path.joinpath('src', 'pytest_foo_bar', 'plugin.py').is_file()
+    assert result.project_path.joinpath('tests', 'test_foo_bar.py').is_file()
 
-    run_tox(str(result.project))
+    run_tox(str(result.project_path))
diff --git a/tox.ini b/tox.ini
index 2021d1f..c63d876 100644
--- a/tox.ini
+++ b/tox.ini
@@ -1,7 +1,7 @@
 [tox]
 recreate = true
 skipsdist = true
-envlist = py35, py36, py37, py38, pypy3
+envlist = py38, py39, py310, py311, py312, pypy3
 
 [testenv]
 deps = pytest