Thursday, February 24, 2011

How much is your coffee really costing you?

I buy Jamaican Blue Mountain Coffee.  Price $44/lb!  What! Yes! $44/lb  and it costs me LESS than your trip to Dunkin' Donuts or Starbucks.  How is this possible you ask.  Simple.  Let's do the math together.


1 lb of Blue Mountain Coffee makes approximately 22 Cups of 16 oz coffee.  Price $2.00 per cup of the worlds finest most expensive coffee.


For comparison to regular priced coffees:
House Arabica $8.00 per pound 22 Cups of 16 oz coffee Price $0.36


Blue Mountain 16 oz. $2.00 after tax/water/electric/machine $2.10
Yearly Cost $766.50

House Arabica 16 oz. $0.36 after tax/water/electric/machine $0.46
Yearly Cost $167.90


Dunkin' Donuts 16 oz. $2.49 after tax about $2.67   
Yearly Cost $974.55


Starbucks 16 oz. $2.99 after tax about $3.20   
Yearly Cost $1,168.00


There you have it.  The winner is $44/lb Jamaican Blue Mountain Coffee.


Check out how much you could save for retirement doing just this.


Assumptions:  42 working years $401.50 annual savings vs. Starbucks Compounded at 5% Annually.


This will amaze you!


Ready!


$57,010.33
OK, ready.  Same math with House Blend Arabica Savings annually over Starbucks at $1,000.10


Ready!


Watch the magic of compounding interest!


This is insane!


$142,007.54


Put that in your cup and drink it! It's easy to save for retirement if you know how!


By brewing the worlds finest and most expensive coffee at home over a 42 year working period you should save enough money to buy a luxury automobile or a small vacation home!


This will be the first of my many ways to help you save for retirement without changing your quality of life.


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