diff --git a/terraform/aws-infrastructure/environments/dev.tfvars b/terraform/aws-infrastructure/environments/dev.tfvars
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+# Development Environment Configuration
+# Cost-optimized for development
+
+aws_region   = "us-east-1"
+environment  = "dev"
+project_name = "myapp"
+
+# VPC
+vpc_cidr            = "10.1.0.0/16"
+enable_nat_gateway  = true
+single_nat_gateway  = true  # Cost savings
+
+# EC2 / ASG
+instance_type        = "t3.small"
+asg_min_size         = 1
+asg_max_size         = 3
+asg_desired_capacity = 1
+
+# RDS
+db_instance_class          = "db.t3.small"
+db_allocated_storage       = 20
+db_username                = "admin"
+db_password                = "ChangeMe123!"  # CHANGE THIS!
+db_multi_az                = false
+db_backup_retention_period = 1
+
+# Monitoring
+alert_email_addresses = ["dev-team@example.com"]
+
+# Cost: ~$50-100/month