Input Variables

The idea in one sentence

An input variable is a named, typed parameter that lets the same Terraform configuration produce different Azure infrastructure depending on who calls it and with what values.

Declaring a variable block

A variable block has four parts worth knowing well: type constrains what shape of value is acceptable, default supplies a fallback when nobody sets a value, description documents intent for the next reader, and sensitive redacts the value from most CLI output.

variable "environment" {
  type        = string
  description = "Deployment environment name, e.g. dev, staging, prod"
  default     = "dev"
}

variable "vm_count" {
  type        = number
  description = "Number of virtual machines to launch"
  default     = 2
}

variable "enable_monitoring" {
  type        = bool
  description = "Whether to enable Azure Monitor diagnostics on the virtual machines"
  default     = true
}

variable "allowed_ports" {
  type        = list(number)
  description = "TCP ports allowed inbound on the network security group"
  default     = [22, 443]
}

variable "resource_tags" {
  type        = map(string)
  description = "Tags applied to every resource in this configuration"
  default = {
    project = "payments"
    team    = "platform"
  }
}

variable "db_config" {
  type = object({
    sku_name              = string
    storage_mb            = number
    backup_retention_days = number
  })
  description = "Structured configuration for the PostgreSQL Flexible Server"
  default = {
    sku_name              = "B_Standard_B1ms"
    storage_mb            = 32768
    backup_retention_days = 7
  }
}

variable "sql_admin_password" {
  type        = string
  description = "Administrator login password for the Azure SQL server"
  sensitive   = true
}

object({...}) is worth calling out: it is a typed, fixed-shape structure — every key you list is required (unless you give it a default with optional()), and Terraform rejects a caller-supplied value that has the wrong shape at plan time, well before any Azure API call happens.

The sensitive = true argument on sql_admin_password only affects display. Terraform masks the value in plan/apply output and in the CLI as (sensitive value). It does not encrypt or omit the value from the state file — the state-management module already covered this: state stores every attribute of every managed resource in plain text inside the JSON, including values that came from a sensitive variable. Treat sensitive = true as a display protection for terminals and CI logs, not as a substitute for a properly access-controlled remote backend.

Validating a variable with a validation block

A default or a type constraint only checks the shape of a value, not whether it makes sense. A validation block adds a custom condition and a specific error_message, so a caller gets immediate, actionable feedback at plan time instead of a confusing error from deep inside the azurerm provider.

variable "location" {
  type        = string
  description = "Azure region to deploy resources into, e.g. eastus, westeurope"

  validation {
    condition     = can(regex("^(eastus|eastus2|westeurope|southeastasia)$", var.location))
    error_message = "location must be one of: eastus, eastus2, westeurope, southeastasia."
  }
}

variable "environment" {
  type        = string
  description = "Deployment environment name"

  validation {
    condition     = contains(["dev", "staging", "prod"], var.environment)
    error_message = "environment must be one of: dev, staging, prod."
  }
}

Without that first validation block, passing location = "mars" would sail through terraform plan and only fail once Terraform actually calls the Azure Resource Manager API to create a resource group in that region — a much slower feedback loop, and a much less specific error message than “location must be one of: eastus, eastus2, westeurope, southeastasia.” The can() wrapper turns a regex() failure into false instead of an outright error, which is exactly what a condition expression needs: it must always evaluate to true or false, never raise.

Setting variable values, and who wins

Terraform lets you set a value for the same variable from several places at once, and it resolves conflicts with a strict, well-defined precedence. From highest priority (wins) to lowest:

1. -var and -var-file on the command line, in the order given — the most explicit, most temporary way to set a value.
2. *.auto.tfvars / *.auto.tfvars.json files, auto-loaded from the working directory in lexical (alphabetical) order of filename.
3. terraform.tfvars / terraform.tfvars.json, auto-loaded if present.
4. TF_VAR_<name> environment variables — useful for CI pipelines and for values you do not want sitting in a file at all.
5. The variable’s own default — used only if nothing above supplied a value.

# Highest precedence: an explicit CLI flag for this one run
terraform apply -var="vm_size=Standard_D8s_v3"

# Or point at a specific tfvars file
terraform apply -var-file="prod.tfvars"

# Environment variable equivalent of setting vm_size
export TF_VAR_vm_size="Standard_D2s_v3"
terraform apply

If vm_size is set in terraform.tfvars, again in prod.auto.tfvars, and again via -var on the command line, the -var value wins — Terraform does not merge scalar values across sources, it picks the highest-priority one that exists. Collection types like maps and objects are the exception worth remembering later: some tooling merges nested values rather than fully overriding, but for the plain sources above, a defined value at a higher-priority source simply replaces a lower-priority one for that variable.

flowchart LR
  a["-var / -var-file (CLI flag)"] --> r["Resolved value of var.vm_size"]
  b["*.auto.tfvars (alphabetical)"] --> r
  c["terraform.tfvars"] --> r
  d["TF_VAR_vm_size (env var)"] --> r
  e["default in the variable block"] --> r
  r --> res["azurerm_linux_virtual_machine.web"]

Multiple value sources resolve to one value per variable, by precedence

🏗️ The one-line takeaway

A variable block declares a typed, named input with an optional default, and sensitive = true masks it from CLI output only — the value is still stored in plain text in state. A validation block adds a condition and a custom error_message so a bad input fails fast and clearly at plan time instead of deep inside a provider call. When the same variable gets a value from more than one place, Terraform resolves it by strict precedence: -var/-var-file beats *.auto.tfvars, which beats terraform.tfvars, which beats TF_VAR_* environment variables, which beats the variable’s own default.

What does a validation block on a variable actually prevent?

It prevents the variable from ever having a default value It catches a caller-supplied value that fails a custom condition at plan time, with a specific error message, instead of failing later inside the provider It encrypts the variable value in the state file It automatically converts the value to the correct type

If a variable has a value in terraform.tfvars, in a TF_VAR_ environment variable, and passed via -var on the command line, which value does Terraform use?

The TF_VAR_ environment variable, because environment variables are always checked first Terraform merges all three values together The -var command line value, because CLI flags have the highest precedence The terraform.tfvars value, because files are more explicit than flags

What does sensitive = true on a variable actually protect?

It removes the value entirely from the state file It masks the value from plan and apply output in the CLI, but the value is still stored in plain text in state It encrypts the value everywhere it appears, including state It prevents the value from being used in any resource argument

Between *.auto.tfvars files and terraform.tfvars, which one wins if both set the same variable?

terraform.tfvars always wins because it has no prefix Neither is auto-loaded, so both are ignored unless referenced explicitly auto.tfvars files win, and are themselves loaded in alphabetical order when there are several They are merged field by field regardless of type

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