diff --git a/docs/resources/virtual_environment_user.md b/docs/resources/virtual_environment_user.md
index e3e69428..3f3ba774 100644
--- a/docs/resources/virtual_environment_user.md
+++ b/docs/resources/virtual_environment_user.md
@@ -49,7 +49,7 @@ resource "proxmox_virtual_environment_role" "operations_monitoring" {
 - `groups` - (Optional) The user's groups.
 - `keys` - (Optional) The user's keys.
 - `last_name` - (Optional) The user's last name.
-- `password` - (Required) The user's password.
+- `password` - (Optional) The user's password. Required for PVE or PAM realms.
 - `user_id` - (Required) The user identifier.
 
 ## Attribute Reference
diff --git a/proxmoxtf/resource/user.go b/proxmoxtf/resource/user.go
index 50e45d70..a8f00f62 100644
--- a/proxmoxtf/resource/user.go
+++ b/proxmoxtf/resource/user.go
@@ -131,7 +131,7 @@ func User() *schema.Resource {
 			mkResourceVirtualEnvironmentUserPassword: {
 				Type:        schema.TypeString,
 				Description: "The user's password",
-				Required:    true,
+				Optional:    true,
 			},
 			mkResourceVirtualEnvironmentUserUserID: {
 				Type:        schema.TypeString,
diff --git a/proxmoxtf/resource/user_test.go b/proxmoxtf/resource/user_test.go
index f570d889..d5122fd9 100644
--- a/proxmoxtf/resource/user_test.go
+++ b/proxmoxtf/resource/user_test.go
@@ -31,7 +31,6 @@ func TestUserSchema(t *testing.T) {
 	s := User()
 
 	test.AssertRequiredArguments(t, s, []string{
-		mkResourceVirtualEnvironmentUserPassword,
 		mkResourceVirtualEnvironmentUserUserID,
 	})
 
@@ -45,6 +44,7 @@ func TestUserSchema(t *testing.T) {
 		mkResourceVirtualEnvironmentUserGroups,
 		mkResourceVirtualEnvironmentUserKeys,
 		mkResourceVirtualEnvironmentUserLastName,
+		mkResourceVirtualEnvironmentUserPassword,
 	})
 
 	test.AssertValueTypes(t, s, map[string]schema.ValueType{