diff --git a/template/.envrc.example b/template/.envrc.example
new file mode 100644
index 0000000..b6cd349
--- /dev/null
+++ b/template/.envrc.example
@@ -0,0 +1,27 @@
+#!/use/bin/env bash
+
+# Source personal .envrc.local if it exists
+if [ -f .envrc.local ]; then
+    echo "Loading personal environment from .envrc.local"
+    source .envrc.local
+fi
+
+if command -v nix-shell >/dev/null 2>&1; then
+    use flake
+fi
+
+# read the secrets from 1Password
+# strip whitespace from the value
+export AWS_S3_ACCESS_KEY_ID="op://{{ copier__project_name }}/AWS_S3_ACCESS_KEY_ID/token"
+export AWS_S3_SECRET_ACCESS_KEY="op://{{ copier__project_name }}/AWS_S3_SECRET_ACCESS_KEY/token"
+export AWS_SES_ACCESS_KEY_ID="op://{{ copier__project_name }}/AWS_SES_ACCESS_KEY_ID/token"
+export AWS_SES_SECRET_ACCESS_KEY="op://{{ copier__project_name }}/AWS_SES_SECRET_ACCESS_KEY/token"
+export POSTGRES_PASSWORD="op://{{ copier__project_name }}/POSTGRES_DB/password"
+export POSTGRES_USER="op://{{ copier__project_name }}/POSTGRES_DB/username"
+# use sandbox host for secrets generation
+export POSTGRES_HOST=postgres
+export DATABASE_URL=postgresql://${POSTGRES_USER}:${POSTGRES_PASSWORD}@${POSTGRES_HOST}/{{ copier__project_slug }}
+export DJANGO_SECRET_KEY="op://{{ copier__project_name }}/DJANGO_SECRET_KEY/token"
+{%- if copier__mail_service == 'Mailgun' %}
+# Mailgun api key
+export MAILGUN_API_KEY="op://{{ copier__project_name }}/MAILGUN_API_KEY/token"{%- endif %}
diff --git a/template/.gitignore b/template/.gitignore
index 8188493..c8d82e0 100644
--- a/template/.gitignore
+++ b/template/.gitignore
@@ -68,3 +68,4 @@ env
 
 # ignore .direnv
 .direnv/
+.envrc
diff --git a/template/Makefile b/template/Makefile
index 3ac5677..a5b11a8 100644
--- a/template/Makefile
+++ b/template/Makefile
@@ -72,7 +72,8 @@ backend/requirements/production.txt: compile
 backend/requirements/tests.txt: compile
 
 setup:
-	@echo " $(YELLOW)⛭$(END) Checking if the setup is correct and all prerequisites are installed..."
+	cp -n .envrc.example .envrc; \
+	@echo " $(YELLOW)⛭$(END) Checking if the setup is correct and all prerequisites are installed..."; \
 	@MISSING=""; \
 	for exec in $(PREREQUISITE_COMMANDS); do \
 		if ! which $$exec > /dev/null 2>&1; then \
diff --git a/template/docs/development.md b/template/docs/development.md
index 85d93e9..4ccba96 100644
--- a/template/docs/development.md
+++ b/template/docs/development.md
@@ -17,11 +17,10 @@ Consult the links below if you prefer to use Minikube or Docker Desktop instead:
 
        $ git clone {{ copier__repo_url }}
        $ cd {{ copier__project_slug }}
+       $ cp -n .envrc.example .envrc
 
 2. Prepare the environment variables. Edit the `.envrc` file to work for your environment.
 
-   **For personal environment configurations**: Create a `.envrc.local` file for your personal development settings that won't be committed to version control:
-
    ```bash
    # Example .envrc.local file
    export DEBUG=true
@@ -29,8 +28,6 @@ Consult the links below if you prefer to use Minikube or Docker Desktop instead:
    export LOCAL_DEV_SETTING=custom_value
    ```
 
-   The `.envrc.local` file will be automatically loaded when you enter the directory (after `.envrc`), allowing you to override or add environment variables without modifying the shared `.envrc` file.
-
 ## Run the kubernetes cluster and the {{ copier__project_slug }} app to develop the code
 
 First load the environment variables, then run:
@@ -56,7 +53,7 @@ To remove the cluster entirely:
        $ kind delete cluster --name {{ copier__project_slug }}
 
 To switch between different Scaf project contexts:
-      
+
       $ tilt down    # inside the codebase of the previous project
       $ make setup   # inside the codebase of the project you want to work on
       $ tilt up
@@ -95,4 +92,4 @@ Resource limits have been predefined for both Django and NextJS services to ensu
   - Limits: `cpu: 250m`, `memory: 300Mi`
 {% endif %}
 
-Ensure these values are appropriate for your environment. If needed, adjust them based on real workload observations in a staging or production environment to balance performance and resource consumption.
\ No newline at end of file
+Ensure these values are appropriate for your environment. If needed, adjust them based on real workload observations in a staging or production environment to balance performance and resource consumption.