Terraform Advanced — When to Use Each

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A decision matrix for choosing between workspaces, directories, and Terragrunt.


Decision Matrix

Criteria Workspaces Directories Terragrunt
Team size 1–3 3–10 10+
Environments 2–3 identical 3+ with differences Any number
Code duplication None Some None
Isolation State-level Full Full
PR clarity ❌ Low ✅ High ✅ High
Learning curve Low Low Medium
Dependency mgmt Manual Manual Automatic
DRY config ❌ ❌ ✅

Quick Guide

Choose Workspaces when:

  • Small team (1–3 engineers)
  • All environments are nearly identical
  • You want simplicity

Choose Directories when:

  • Environments differ significantly (prod has WAF, dev doesn’t)
  • You need clear PR diffs per environment
  • Team is medium-sized

Choose Terragrunt when:

  • Many environments with many services
  • You want DRY config without duplication
  • You need dependency ordering across stacks
  • Team is large or growing

What’s Next?

Practice workspace and directory patterns.

← Real Project Structure Practice Exercises →

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