Save $1,463.65 A Year By Making Your Own Coffee At Home

Save $1,463.65 A Year By Making Your Own Coffee At Home

Jacqueline Yan

Are you inspired to open a cafe, but feel like you will never have the time or money to do so?

Or you simply cannot function without coffee and need to drink it EVERY. SINGLE. DAY?

Fry Pouring Coffee
Source: giphy

While it’s absolutely delicious, assuming that each cup of coffee costs $6, our needy dependence on coffee costs us $2,190 per year!

Have you ever wondered how much you can save if you make your own coffee at home instead? Well, the answer is, quite a latte.

TL;DR – Save $1,463.65 Per Year Just By Brewing Your Own Cappuccino At Home

Save Money By Making Coffee At Home

Depending on the style of coffee you like, you will first have to start out with some basic equipment.

It may look like a large sum to churn out at first, but if you take care of them just like your regular household appliances, they can last you a long time.

Before you get too excited, let’s talk about how much you’ll need to set up the station first, based on the cheapest options for the basic essentials.

Cheapest Espresso Set-Up

  • Espresso machine: $998
  • Coffee grinder: $299
  • Whole coffee beans (per kg): $39.25
  • Full cream milk (per 2-litre): $6.35

Cheapest Cappuccino You Can Make At Home

We’ve calculated the cheapest cappuccino you can make at home based on the following assumptions:

  • Coffee equipment lasts 5 years
  • Each kilogram of coffee lasts 2 months
  • Each 2-litre bottle of milk lasts 10 days
  • Paper filters lasts 100 days
ItemCost Per Cup
Espresso Machine$0.55
Coffee Grinder$0.16
Whole Bean Coffee$0.65
Full Cream Milk$0.63

Now, let’s assume that you only drink one cup each day, you’ll essentially be saving $6.00 – $1.99 = $4.01 per day. 

Since you’re addicted and drink coffee every day, your total savings amount to $4.01 per day x 365 days = $1,463.65 per year!

Setting up a nice and cosy coffee corner at home doesn’t just save you money, it’s likely to make your family and friends go ‘wow’ when they visit.

Espresso Machine with Shot Flowing
Source: freepik

What Do I Need To Make A Cappuccino At Home?

We’ve compiled out a range of prices for the basic necessities when it comes to making coffee at home.

ItemAverage CostDurationCost Per Cup
Espresso Machine$998 - $4,5985 years$0.55 - $2.52
Coffee Grinder$299 - $3985 years$0.16 - $0.22
Whole Bean Coffee$39.25 - $79.602 months$0.65 - $1.33
Full Cream Milk$6.3510 days$0.63
TOTAL$1.99 - $4.70

Coffee Equipment

Erm, how else are you going to make your perfect cuppa in the morning? It may be a bit of a pinch initially, but a domestic coffee machine can cost you anywhere between $998 to $4,598.

A wise barista once told me that you’ll want to grind your coffee fresh to optimise the flavour of your cup; an entry-range espresso grinder will generally cost about $299 to $398.

So depending on how fancy you want your machine set-up to be, your coffee assets will total up to $1,297 to $4,996. Assuming that your equipment lasts you for 5 years, your equipment cost averages out to $0.71 to $2.74 per day. 

Whole Bean Coffee

Now that you’re armed with the necessary equipment, let’s talk coffee. duh

This is where we get dizzy with excitement since there are just so many choices, depending on your atas taste. Generally, whole bean coffee can cost you anything between $39.25 to $79.60 per kg.

Again, it may seem like a lot, but 1 kg will easily fuel you for about 2 months if you drink 1 cup per day.

Let us do the math for you, even if you chose the most expensive option, that will be about $0.65 – $1.33 per day.

Full Cream Milk

The last magical ingredient binding everything together is milk!

If you’ve got a keen eye like us, you’ll notice that most cafes in Singapore use a certain brand of full cream milk, which is going to cost you $6.35 for a 2-litre bottle.

Assuming that the bottle is used exclusively for your daily dose, a 2-litre bottle is going to last you about 10 days, which brings it to $0.63 per day.

How Much Can I Save?

As you’d have seen, the cost of your set-up varies depending on machine models and features, and the type of coffee you like. Ditching your $6 per cup habit and making your cappuccino at home will potentially free up $474.50 – $1,463.65 per year. 

Bonus: Have you considered filter coffee? You should, ‘cus it can save you even more money!

Person pouring filter coffee into cup
Source: freepik

Not a fan of milk or espresso-based beverages?

Always thought baristas looked cool making filter coffee?

Turns out, it’s really easy and cheap to do that yourself too!

ItemAverage CostDurationCost Per Cup
Coffee Brewer$6 - $685 years$0.003 - $0.04
Coffee Grinder$46 - $3985 years$0.02 - $0.22
Whole Bean Coffee$54.80 - $94.002 months$0.91 - $1.57
Paper Filters$7 - $18100 days$0.07 - $0.18
TOTAL $1.00 - $2.01

Brewing Equipment

You’ll soon find out that this is mainly the portion that will help you lower your buy-in, ahem, aka cheapest option, since your typical filter coffee brewer starts from $6 to $68.

All coffee should be treated equally, so your filter coffee should be ground fresh too! Depending on your needs, you will likely spend about $46 to $398 for a decent entry-level grinder.

For such a cool method to brew coffee, your total buy-in is only $52 to $466. Again, assuming that your equipment lasts for 5 years, your cost averages out to $0.03 to $0.25 per day! 

Whole Bean Coffee

Here’s where your atas taste buds might cost you more. Most of the interesting flavours that you get when you drink filter coffee come from using single-origin coffee, and these typically cost a little more compared to your blends. Hence, for filter coffee, it typically ranges from $54.80 to $94.00 per kg.

Your 1kg stash can last you for about 2 months if you drink 1 cup per day. So that averages out to $0.91 to $1.57 per day, even if you choose one of the more expensive coffees.

Paper Filters

Let’s assume that you chose to use a brewer that requires you to use disposable paper filters, which typically cost about $7 to $18 per 100 pieces, adding on just about $0.07 to $0.18 per day. 

How Much Can I Save?

The numbers are probably starting to work out in your head by now but yes, with your average cup of filter coffee costing you only $1.00 – $2.01 per day, you’re looking at saving $1,456.35 – $1,825 per year! 

Regardless of whether you are looking to lower your monthly expenses to accumulate more savings or to allocate more funds in your investment portfolio, making your own coffee at home is one way you can do so!

About Jacqueline Yan
Full-time coffee nerd playing the personal finance game to feed her insatiable wanderlust.
You can contribute your thoughts like Jacqueline Yan here.

Still have more questions after reading the article? Fret not, ask our community here!

Stay updated with the latest finance tips!
Receive bite-sized finance on Telegram here.

What's Popular

    • Loading articles
    • Loading articles
    • Loading articles
    • Loading articles
    • Loading articles

What's Popular

    • Loading articles
    • Loading articles
    • Loading articles
    • Loading articles
    • Loading articles

Still have more questions after reading the article? Fret not, ask our community here!