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Principal TypeExplanationLearn more at AWS
Federated User

Yields temporary AWS security credentials for a federated user with the Atlassian user name and an optional IAM policy (if absent, AWS applies a default)

In order to use the Federated User Principal Type, you need to Grant an IAM Group Permission to Create Temporary Credentials! The following example shows a policy that grants permission to access the AWS STS GetFederationToken API - you need to add it to the long-term AWS security credentials you are about to use for federation (i.e. not here in this AWS Connector dialog):

{
  "Version": "2012-10-17",
  "Statement": [{
    "Effect": "Allow",
    "Action": "sts:GetFederationToken",
    "Resource": "*"
  }]
}

Permissions in Temporary Security Credentials for Federated Users

Grant an IAM Group Permission to Create Temporary Credentials

Account (IAM User)

Yields temporary AWS security credentials for the selected IAM user (recommended) or AWS account (disadvised) itself

Account (IAM User) does not allow to specify IAM policies or distinguish users - use Federated User for these features instead.
Permissions in Temporary Security Credentials for IAM Users
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