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AWS Account Creation and Budgeting

Oct 30, 2025

Overview

This lecture introduces the foundational steps for all AWS boot camp tracks, focusing on creating a free AWS account and setting up budget alerts to manage costs.

Creating an AWS Account

  • All AWS certifications begin by creating an AWS account with proper setup for hands-on practice.
  • Visit the AWS Management Console and select "create account."
  • Enter a unique email address and account name; verify your email via a code sent to your inbox.
  • Set a strong root user password (full access) and provide personal contact details.
  • Select “personal” account type unless it’s for business/organizational purposes.
  • Enter a valid credit or debit card for billing verification; AWS may place a temporary hold but won’t charge unless you exceed the free tier or after one year.
  • Verify your identity via SMS or phone call with an OTP code.
  • Choose the free Basic Support plan at the end of registration.

AWS Management Console Overview

  • On login, you access the AWS Management Console with default or chosen region (e.g., US East 1 - Northern Virginia).
  • Recently visited services appear at the top; cost and usage reports update after 24–48 hours.
  • The console provides quick links to training, certifications, and AWS Health Dashboard.

Setting Up Budgets and Billing Alerts

  • Budget and billing alerts help avoid unexpected real-money charges, as AWS services are metered and can exceed free-tier limits.
  • Navigate to "Billing and Cost Management" via the service search in the console.
  • Create a new budget using either a template (basic options) or custom settings (more control).
  • For a custom budget: select “cost budget”, specify monthly and recurring, choose the amount ($1–$5 recommended), set the scope to all services, and select “unblended cost”.
  • Set an alert threshold (default 80%, e.g., $4 for a $5 budget); adjust to 50% for earlier notifications if desired.
  • Prefer alerts based on forecasted cost for proactive warnings.
  • Enter email addresses for alert notifications; optional: SNS or Chatbot integrations.
  • Review and create the budget; AWS will notify you if your spend approaches the threshold.

Key Terms & Definitions

  • AWS Free Tier — A set of AWS services available for free within certain usage limits, typically for the first 12 months.
  • Root User — The primary AWS account user with full access privileges.
  • AWS Management Console — Web interface for managing AWS resources and settings.
  • Budget Alert — Email notification when costs are projected or actually exceed specified thresholds.
  • Unblended Cost — Actual usage cost attributed to your account, not averaged with other accounts.
  • Forecasted Cost — AWS’s prediction of your end-of-month charges based on current usage.

Action Items / Next Steps

  • Create your free AWS account and set a strong password.
  • Enter billing information and choose the free support plan.
  • Set up a monthly cost budget and enable email alerts.
  • Explore the AWS Management Console.
  • Prepare for the next module on core AWS services.