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Free coffee savings calculator

A coffee savings calculator shows the difference between brewing at home and buying at a café, then compounds those savings as if invested. One or two cups a day adds up to.

About this calculator

How to use

  1. Enter the number of café cups you buy per day.
  2. Set the café price and your home brewing cost per cup.
  3. Adjust the days per year if you do not buy coffee every day.
  4. Set your expected annual investment return.
  5. Click Calculate savings and see your daily to 20-year projections.

Formulas

dailySavings  = (shopCost − homeCost) × cupsPerDay
annualSavings = dailySavings × daysPerYear
monthlySavings = annualSavings ÷ 12

Future value of annuity (investing savings each year):

FV = annualSavings × ((1 + r)^n − 1) ÷ r

where r = annual return as decimal, n = years.

Worked example

1 cup/day, $5.50 café, $0.50 home, 365 days, 7% return:

dailySavings  = ($5.50 − $0.50) × 1 = $5.00/day
annualSavings = $5.00 × 365 = $1,825/year
5-year FV     = $1,825 × ((1.07^5 − 1) ÷ 0.07) ≈ $10,543
10-year FV    = $1,825 × ((1.07^10 − 1) ÷ 0.07) ≈ $25,194
20-year FV    = $1,825 × ((1.07^20 − 1) ÷ 0.07) ≈ $75,062

Notes

  • The future value assumes you invest savings at the end of each year (ordinary annuity). Investing monthly would yield slightly more due to more frequent compounding.
  • Café prices vary widely. A plain drip coffee is $3–$4; a latte or specialty drink is often $6–$8. Use the price of your actual regular order.
  • If you make espresso at home with a machine, factor in the depreciation cost of the machine spread over its expected life.

Frequently asked

How is the daily savings calculated?
Daily savings = (café cost − home cost) × cups per day. With a $5.50 café cup and a $0.50 home cup, one cup per day saves $5.00.
How are the long-term savings compounded?
The calculator uses the future value of an annuity formula: FV = annual savings × ((1 + r)^n − 1) ÷ r, where r is the annual investment return and n is years. This assumes savings are invested at the end of each year.
What investment return should I use?
The default is 7%, which reflects the historical average real return of a broad US stock index after inflation. Use 4–5% for a conservative bond-heavy portfolio, or 0% to see simple (un-compounded) savings.
What does home cost per cup include?
Home cost covers beans or grounds, filters, water, and a small share of the coffee maker's cost. For drip coffee the typical cost is $0.25–$0.75 per cup. For espresso it can be $0.50–$1.50 depending on the machine.
What is the average price of a café coffee?
The National Coffee Association's 2023 survey found the average specialty coffee drink (latte, cappuccino) costs $5–$7 in US cities. Plain drip coffee averages $3–$4.
How do I share my result?
Click Share to copy the page link, or Share with my numbers to include your inputs in the URL.