diff --git a/terraform/kms.tf b/terraform/kms.tf
new file mode 100644
index 0000000..78927b8
--- /dev/null
+++ b/terraform/kms.tf
@@ -0,0 +1,85 @@
+resource "aws_kms_key" "eks" {
+  description             = "EKS Secret Encryption Key"
+  deletion_window_in_days = 7
+  enable_key_rotation     = true
+  
+  policy = jsonencode({
+    Version = "2012-10-17"
+    Statement = [
+      {
+        Sid       = "Enable Root Account Permissions"
+        Effect    = "Allow"
+        Principal = {
+          AWS = "arn:aws:iam::${data.aws_caller_identity.current.account_id}:root"
+        }
+        Action    = "kms:*"
+        Resource  = "*"
+      },
+      {
+        Sid    = "Allow EKS Service"
+        Effect = "Allow"
+        Principal = {
+          Service = "eks.amazonaws.com"
+        }
+        Action = [
+          "kms:Encrypt",
+          "kms:Decrypt",
+          "kms:CreateGrant",
+          "kms:DescribeKey"
+        ]
+        Resource = "*"
+      },
+      {
+        Sid    = "Allow EKS Node Group Role"
+        Effect = "Allow"
+        Principal = {
+          AWS = aws_iam_role.eks_node_group_role.arn
+        }
+        Action = [
+          "kms:Decrypt",
+          "kms:DescribeKey",
+          "kms:Encrypt",
+          "kms:GenerateDataKey*"
+        ]
+        Resource = "*"
+      },
+      {
+        Sid    = "Allow EKS Admin Role"
+        Effect = "Allow"
+        Principal = {
+          AWS = aws_iam_role.eks_admin.arn
+        }
+        Action = [
+          "kms:Decrypt",
+          "kms:DescribeKey",
+          "kms:Encrypt",
+          "kms:GenerateDataKey*"
+        ]
+        Resource = "*"
+      },
+      {
+        Sid    = "Allow EKS Cluster Role"  // Add this block
+        Effect = "Allow"
+        Principal = {
+          AWS = aws_iam_role.eks_cluster_role.arn
+        }
+        Action = [
+          "kms:Decrypt",
+          "kms:DescribeKey",
+          "kms:Encrypt",
+          "kms:GenerateDataKey*",
+          "kms:CreateGrant",
+          "kms:ListGrants",
+          "kms:RevokeGrant"
+        ]
+        Resource = "*"
+      },
+    ]
+  })
+}
+
+# Add an alias for easier key management
+resource "aws_kms_alias" "eks" {
+  name          = "alias/eks-secure-auth-cluster-v2"
+  target_key_id = aws_kms_key.eks.key_id
+}
\ No newline at end of file