Recent trend shows that the reduced size couplers are becoming potential building blocks and have created a continuing demand for the growing wireless communications market. Therefore, this paper presents a new design and realization for reducing the size of the branch-line coupler using eight two-step stubs that operates at 2.45 GHz. In this study, the reduced size branch-line coupler has been implemented on a 4 × 4 Butler Matrix, which generally consists of branch-line coupler, crossover, and phase shifter. The simulation results are obtained by using the advanced design system (ADS) in terms of S-Parameter analysis and the phase difference between the ports. Moreover, this design is realized on a low-cost substrate, e.g., flame resistance board (FR4 Board). The obtained results show that the proposed design has reduced the electrical length of transmission line up to 50% and consequently, the area of the branch-line coupler has been reduced up to 30% from the normal size.