diff --git a/docs/index.md b/docs/index.md
index 859964d4..154423c1 100644
--- a/docs/index.md
+++ b/docs/index.md
@@ -62,4 +62,5 @@ resource "google_compute_instance" "dev" {
 
 ### Optional
 
+- `feature_use_managed_variables` (Boolean) Feature: use managed Terraform variables. If disabled, Terraform variables will be included in legacy Parameter Schema.
 - `url` (String) The URL to access Coder.
\ No newline at end of file
diff --git a/examples/resources/coder_parameter/resource.tf b/examples/resources/coder_parameter/resource.tf
index ea2a3e47..c4d7e859 100644
--- a/examples/resources/coder_parameter/resource.tf
+++ b/examples/resources/coder_parameter/resource.tf
@@ -1,3 +1,7 @@
+provider "coder" {
+  feature_use_managed_variables = true
+}
+
 data "coder_parameter" "example" {
   name        = "Region"
   description = "Specify a region to place your workspace."
diff --git a/provider/provider.go b/provider/provider.go
index 2032cec3..147b0187 100644
--- a/provider/provider.go
+++ b/provider/provider.go
@@ -35,6 +35,11 @@ func New() *schema.Provider {
 					return nil, nil
 				},
 			},
+			"feature_use_managed_variables": {
+				Type:        schema.TypeBool,
+				Description: "Feature: use managed Terraform variables. If disabled, Terraform variables will be included in legacy Parameter Schema.",
+				Optional:    true,
+			},
 		},
 		ConfigureContextFunc: func(c context.Context, resourceData *schema.ResourceData) (interface{}, diag.Diagnostics) {
 			rawURL, ok := resourceData.Get("url").(string)