Terragrunt vs AWS CloudFormation: Which is Better in 2026?
Choosing between Terragrunt and AWS CloudFormation comes down to understanding what each tool does best. This comparison breaks down the key differences so you can make an informed decision based on your specific needs, not marketing claims.
Bottom line: Terragrunt is our overall pick for infrastructure as code workflows. Pick AWS CloudFormation if you need DevOps.
Short on time? Here's the quick answer
We've tested both tools. Here's who should pick what:
Terragrunt
Terraform wrapper for DRY configurations
Best for you if:
- • You need something completely free
- • You need infrastructure as code features specifically
- • Terragrunt is a thin wrapper for Terraform that keeps configurations DRY
- • It manages multiple Terraform modules with reduced duplication
AWS CloudFormation
Infrastructure as code for AWS using YAML or JSON templates
Best for you if:
- • You need DevOps features specifically
- • AWS CloudFormation enables infrastructure as code using declarative YAML or JSON templates
- • It provisions and manages AWS resources consistently, with automatic rollback on failures
| At a Glance |  Terragrunt |  AWS CloudFormation |
|---|---|---|
Starts at | Custom/moTerragrunt Scale Team | $0.0009/operationHandler Operations |
Best For | Infrastructure as Code | DevOps |
Rating | - | - |
Choose Terragrunt or AWS CloudFormation?
Choose Terragrunt if
Terraform wrapper for DRY configurations
- Terraform wrapper
- DRY Terraform
- Good for modules
- You want a fully free tool (AWS CloudFormation requires payment)
- Your work is infrastructure as code-shaped, not DevOps-shaped
Choose AWS CloudFormation if
Infrastructure as code for AWS using YAML or JSON templates
- Native AWS IaC
- Supports all AWS services
- Drift detection
- Your work is DevOps-shaped, not infrastructure as code-shaped
| Feature | Terragrunt | AWS CloudFormation |
|---|---|---|
| Pricing Model | Free | Paid |
| User Rating | No ratings yet | ★4.5/5 103 reviews |
| Categories | Infrastructure as CodeDevOps | DevOpsCloud & Infrastructure |
In-Depth Analysis
Terragrunt
Terraform wrapper for DRY configurations
Strengths
- +Terraform wrapper
- +DRY Terraform
- +Good for modules
- +Active development
- +Open source
Weaknesses
- -Learning curve
- -Added complexity
- -Terraform native catching up
- -Documentation gaps
- -Debugging harder
Key features
AWS CloudFormation
Infrastructure as code for AWS using YAML or JSON templates
Strengths
- +Native AWS IaC
- +Supports all AWS services
- +Drift detection
- +Stack management
- +No additional cost
Weaknesses
- -YAML/JSON syntax verbose
- -AWS only
- -Slow deployments
- -Error messages cryptic
- -Rollback can be slow
Key features
Pricing: Terragrunt vs AWS CloudFormation
| Plan | Terragrunt | AWS CloudFormation |
|---|---|---|
| Tier 1 | Free Open Source | Free |
| Tier 2 | Free Terragrunt Scale Free | $0.0009 /operation Handler Operations |
| Tier 3 | Custom Terragrunt Scale Team | N/A |
Pricing verified from each vendor's public pricing page. Compare in detail on Terragrunt pricing and AWS CloudFormation pricing.
Who Should Use What?
On a budget?
Terragrunt is free. AWS CloudFormation is paid.
Go with: Terragrunt
Want the highest-rated option?
Neither has user reviews yet.
Go with: Terragrunt
Value user reviews?
Neither has user reviews yet.
Go with: Terragrunt
3 Questions to Help You Decide
What's your budget?
Terragrunt is free. AWS CloudFormation is paid. Go with Terragrunt if free matters most.
What's your use case?
Terragrunt is a infrastructure as code tool. AWS CloudFormation is in DevOps. Pick the category that matches your needs.
How important are ratings?
Neither has user reviews yet.
Key Takeaways
Terragrunt
- Completely free
- Our pick for this comparison
AWS CloudFormation
- Better fit for DevOps
The Bottom Line
Terragrunt is our pick.
Frequently Asked Questions
Is Terragrunt or AWS CloudFormation better?
Terragrunt is rated in our evaluation. Terragrunt is free and AWS CloudFormation is paid.
What are Terragrunt and AWS CloudFormation used for?
Terragrunt: Terraform wrapper for DRY configurations. AWS CloudFormation: Infrastructure as code for AWS using YAML or JSON templates.
What does Terragrunt cost vs AWS CloudFormation?
Terragrunt is completely free. AWS CloudFormation is a paid tool. Visit their websites for detailed pricing.