Homebrewing saved me over $1000 in 2015!

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HausBrauerei_Harvey

HausBrauerei_Harvey

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I sat down with my wife last night and went over our yearly finances.

In 2014 I was not a homebrewer, we spent $1500 on alcohol at the booze store and going out to local pubs for a beer.

In 2015 I had a 15 gallon system, 6 tap keeezer, and haven't bought a six pack in well over a year.

In 2015 we spent $350 on alcohol at the booze store and local pubs.

Considering I spent about $400 on ingredients in 2015 that is over $1000 less money spent in 2015. I was pretty surprised and tickled by those numbers.


Now the long backstory if you want to read on:

I know this doesn't factor in equipment but I had wanted to brew for years so in late 2014 I got a modest 5K inheritance from my grandma's passing. I decided grandpa (who was a boozer and woodworker) would love to see me put that to good use so I spent about 3K getting a nice setup for brewing, (15 gallon cooler and pot setup, 6 tap keezer) and the rest of the money I spent on tools for a wood shop, since we just bought a house with a shop and no tools. Grandpa was also cheap so I know he would love it if I could tell him he's helping me enjoy great beer and save money in the long run! :)

Cheers!
 
I have no idea why people say homebrewing doesn't save any money, like you I have saved tons from not having to buy expensive craft beers as much. I can brew 3 gallons of delicious craft level beer for $18-25, that same money spent commercially would get me a hell of a lot less than 3 gallons.

Homebrewing is awesome!
 
I've made around 2340 bottles of beer since starting brewing in 2010.

These would all run me around $2.50 - $3.00 or way more depending on if at a brew pub.

Now, I wouldn't have consumed that amount if I hadn't been brewing and I do give a few away but that's close to $4000 worth of savings for me even including the cost of all my equipment.

There's nothing else I can do in my life to save that much money beyond giving up things i'm passionate about.

Even producing your own food and making everything from scratch doesn't bring me that kind of savings.
 
A2HB said:
I have no idea why people say homebrewing doesn't save any money, like you I have saved tons from not having to buy expensive craft beers as much. I can brew 3 gallons of delicious craft level beer for $18-25, that same money spent commercially would get me a hell of a lot less than 3 gallons.

Homebrewing is awesome!
Click to expand...

At $11 per six pack your $25 would buy you 1.28 gallons of craft beer. I was curious.
 
A2HB said:
I have no idea why people say homebrewing doesn't save any money, like you I have saved tons from not having to buy expensive craft beers as much. I can brew 3 gallons of delicious craft level beer for $18-25, that same money spent commercially would get me a hell of a lot less than 3 gallons.

Homebrewing is awesome!
Click to expand...

People say that because they understand their time is worth something. There is many reasons by craft beer costs as much as it does. But as with most products, Labor tends to be a big (if not biggest) component of producing it. So of course homebrewing looks good from a cost savings basis when you don't factor in one of the most expensive needs to produce it!

Now, I've heard all of the excuses for why you wouldn't add in your own time (its a hobby!, If I wasn't brewing I'd probably be blowing my time on golf, Do you count your own time making dinner?, etc. etc). I get all that. But to say unequivocally that you are saving money? Meh-that doesn't wash for me as you aren't doing a true cost of production comparison between homebrew and craft beer.
 
I see it as savings once you get past the start up cost but that can be done on the cheap as well. As much as I would love to have nice stainless steel conical but it would gain me nothing that my $20 plastic buckets don't do when doing 5 gallon batches. Doing a keg system, that is where the money should be spent and it does take a lot of time to offset the cost versus buying bottles but the time and space savings is worth it :tank:
 
broadbill said:
People say that because they understand their time is worth something. There is many reasons by craft beer costs as much as it does. But as with most products, Labor tends to be a big (if not biggest) component of producing it. So of course homebrewing looks good from a cost savings basis when you don't factor in one of the most expensive needs to produce it!

Now, I've heard all of the excuses for why you wouldn't add in your own time (its a hobby!, If I wasn't brewing I'd probably be blowing my time on golf, Do you count your own time making dinner?, etc. etc). I get all that. But to say unequivocally that you are saving money? Meh-that doesn't wash for me as you aren't doing a true cost of production comparison between homebrew and craft beer.
Click to expand...

But if you enjoy the act of brewing, it isn't a cost. It's fun! Of course you wouldn't include that in your tally.
 
In my homebrewer experience the only expensive thing is the begging when you buy the equipment, bottle and all the Misc things like hidrometers filter and wherever but once you have all that things the ingredients (malt, honey, hops, yeast) are the only thing you need to get.
 
Homebrewing has saved me a ton of money as well. I can always tell because sometimes I get busy and end up with nothing on draft, and then it's very easy to spend $100+ a month or more on just a few good six packs.

I won't factor in the time spent brewing, because that's one of my favorite activities alongside of cooking ridiculously complex meals. Creating something awesome from scratch is just as satisfying as sitting down with a good book, tv show or game in my opinion.
 
Don't forget the (OTHER) consumables (bottle caps / priming sugar / CO2, DME for starters, cleaning solution, water, water additions, electricity, etc).
 
moreb33rplz said:
But if you enjoy the act of brewing, it isn't a cost. It's fun! Of course you wouldn't include that in your tally.
Click to expand...

You would most certainly consider it if you are making the statement that you are saving money by homebrewing vs. buying. Store purchased beer has labor costs rolled in. At that point you are taking the fun/hobby out of the equation.
 
UncleRusty said:
Homebrewing has saved me a ton of money as well. I can always tell because sometimes I get busy and end up with nothing on draft, and then it's very easy to spend $100+ a month or more on just a few good six packs.

I won't factor in the time spent brewing, because that's one of my favorite activities alongside of cooking ridiculously complex meals. Creating something awesome from scratch is just as satisfying as sitting down with a good book, tv show or game in my opinion.
Click to expand...

I'm not arguing that it isn't satisfying. What I'm arguing is that the process saves you money.
 
I appreciate the goal of making a statement "I'm saving money by brewing". It's much like "these shoes were on sale, so I saved money by buying 3 pair"! My wife might buy the second statement, but never the first! Ha.

Here's how I look at it: Home Brewing is an expensive hobby that I can afford. Buying and consuming commercial craft beer is a more expensive hobby. Being able to enjoy the creative process and end up with lower cost great beer is a winner - that's why I do it.
 
broadbill said:
You would most certainly consider it if you are making the statement that you are saving money by homebrewing vs. buying. Store purchased beer has labor costs rolled in. At that point you are taking the fun/hobby out of the equation.
Click to expand...

But because it's a hobby and not a business we don't need to quantify labor and opportunity costs. Brewing saves him money because he's not buying beer, that's all there is to it.
 
iijakii said:
But because it's a hobby and not a business we don't need to quantify labor and opportunity costs. Brewing saves him money because he's not buying beer, that's all there is to it.
Click to expand...

But you need to quantify those costs if you are making the statement that you are saving money brewing vs. buying. Otherwise its an unfair comparison.
 
broadbill said:
But you need to quantify those costs if you are making the statement that you are saving money brewing vs. buying. Otherwise its an unfair comparison.
Click to expand...

I disagree. When something is a hobby you do not need to count your time as labor. He's saving money because he's spending less money. Doesnt have to be complicated.
 
broadbill said:
But you need to quantify those costs if you are making the statement that you are saving money brewing vs. buying. Otherwise its an unfair comparison.
Click to expand...

that's like saying you get paid 0$ an hour because you get paid for your time and your time costs you money. at some point you have to cut it. My netflix costs me 9$ a month, not $400 a month because of the amount of time I spend using it.
 
broadbill said:
People say that because they understand their time is worth something. There is many reasons by craft beer costs as much as it does. But as with most products, Labor tends to be a big (if not biggest) component of producing it. So of course homebrewing looks good from a cost savings basis when you don't factor in one of the most expensive needs to produce it!

Now, I've heard all of the excuses for why you wouldn't add in your own time (its a hobby!, If I wasn't brewing I'd probably be blowing my time on golf, Do you count your own time making dinner?, etc. etc). I get all that. But to say unequivocally that you are saving money? Meh-that doesn't wash for me as you aren't doing a true cost of production comparison between homebrew and craft beer.
Click to expand...

That's like saying people who coupon-clip and save money that way haven't saved anything because they didn't factor in their time.

Or that you didn't save $300 on a new car by shopping around because you didn't factor in the 20 hours of research and looking at different dealerships into the equation.

If you have money left over from what you would have otherwise spent, you've saved money.
 
If homebrewing has saved me anything it is from drinking beer instead of soft drinks. I drank far less alcohol before I started homebrewing.
 
Isnt there a subtle difference based on the wording? Home brew is cheaper than store bought beer vs home brewing saves me money.

Home brew isnt cheaper than store bought beer as your not factoring in the labour costs but it can save you money as your spending less on home brewing than store bought beer as you do home brewing in your leisure time rather than when your at work (which your time is valued as so much per hour)
 
MyQuL said:
Isnt there a subtle difference based on the wording? Home brew is cheaper than store bought beer vs home brewing saves me money.

Home brew isnt cheaper than store bought beer as your not factoring in the labour costs but it can save you money as your spending less on home brewing than store bought beer as you do home brewing in your leisure time rather than when your at work (which your time is valued as so much per hour)
Click to expand...

There are NO labor costs associated with homebrewing, unless you either 1) pay yourself, or 2) pay someone to homebrew for you.

My time at work earns me money, my time at home (homebrewing) earns me $0
 
I get pretty irritated at prices of "craft" beer at the store and what a pint costs in a pub.
When I figure what it costs me to make a beer at the homebrew level, its even more bothersome. I'm wondering why there doesn't seem to be any price competition in the beer marketplace.

So I still buy some six packs, and enjoy a pint at the bar now and then, most of what I drink is home made. How much do I save? Don't know and really don't care, its just fun and I usually like my fresh homebrew better than the stuff at the store.
It doesn't really come down to money at all. I can experiment with different hop, grain and yeast combinations that will never be made commercially and make clone recipes of beers that aren't available in my area. I've done blind side by side taste tests with my clone versions and the commercial examples (if I can get them) and so far my beer has been preferred 100% of the time. Its also fun to go to homebrew clubs and see what others are doing.
 
iijakii said:
I understand considering opportunity costs when it's something you don't want to do, like a tricky house repair or something when you're debating on sinking all your spare time vs paying someone. But counting labor on a hobby is just wrong.
Click to expand...

yes, this
 
Here on HBT this discussion is equivalent to one about politics or religion! :)

Now, is it just me or does the OP's math (on what is supplied only) not add up?

$1500 spent on alcohol in 2014 (presumably the baseline)
$350 spent in 2015 on same
$400 spent on homebrew ingredients
How is savings > $1000???! :confused:

Brew on folks, brew on because you love it!! :mug:
 
beernutz said:
At $11 per six pack your $25 would buy you 1.28 gallons of craft beer. I was curious.
Click to expand...

Yeah and then you have to take into account that a lot of craft breweries are doing those damnedable 4 packs these days, so that pushes the cost per brew even higher.

The cost of 4 packs was a real big push to get me into home brewing, or at least curious about it enough to start researching the topic
 
madscientist451 said:
I get pretty irritated at prices of "craft" beer at the store and what a pint costs in a pub.
When I figure what it costs me to make a beer at the homebrew level, its even more bothersome. I'm wondering why there doesn't seem to be any price competition in the beer marketplace.
Click to expand...


For less discerning consumers, price = quality. If you charge a lot for something it must be good, no?

I used to have a golf clubmaking business. I'd add $20/club to my costs of components, consumables and such as my compensation.

When the golf industry collapsed after overbuilding following the surge of Tiger Woods, there was lots of excess capacity. Major club manufacturers like Ping, Titleist, TM, etc. cost-cut items that previously were fairly expensive.

I discovered later, much to my chagrin, that I needed to price my clubs HIGHER so that the perceived value was higher. Lots of golf club purchasing is based on name, story, and recognition. When someone could pull a Ping from their bag or a Mongoose33 from their bag, when some pro was playing Pings on tour and nobody was playing a Mongoose33, well, guess what happened?

I should have added $300 to the cost of a set and given purchasers a story to tell when they pulled those clubs from the bag so they could justify why they played Mongoose33 instead of Titleist or whatever. I should have laminated a "statement of design" for purchasers telling them that these clubs were frequency-matched to ensure shaft flex was consistent all the way up and down a set, that they were either swingweight-matched to ensure the same feel of heft or moment-of-inertia matched. And I should have demonstrated how I *knew* my clubs were more consistent than the name brands (which they were).

I would have sold somewhat fewer clubs but I would have made more money.

I don't buy the most expensive beer at the local pub; I purchase the one I like to drink best, and rarely is it the priciest. But some people will equate quality with price, even if the can't in a blind taste test identify the pricier from the cheaper brews.
 
Kampenken said:
Here on HBT this discussion is equivalent to one about politics or religion! :)

Now, is it just me or does the OP's math (on what is supplied only) not add up?

$1500 spent on alcohol in 2014 (presumably the baseline)
$350 spent in 2015 on same
$400 spent on homebrew ingredients
How is savings > $1000???! :confused:

Brew on folks, brew on because you love it!! :mug:
Click to expand...

Hah my math is terrible! you know I was thinking of over 1000 saved before I threw in the ingredients figure this morning! I could say I spent 1000 less at the booze store thought. :)
 
iijakii said:
But because it's a hobby and not a business we don't need to quantify labor and opportunity costs. Brewing saves him money because he's not buying beer, that's all there is to it.
Click to expand...

iijakii said:
I disagree. When something is a hobby you do not need to count your time as labor. He's saving money because he's spending less money. Doesnt have to be complicated.
Click to expand...

Except he didn't save money.

In 2014 he spent ~$1500 on beer.

In 2015 he spent $3400 on equipment and ingredients before he even made a drop of beer.

Last I checked: $3400 > $1500.

kh54s10 said:
There are NO labor costs associated with homebrewing
Click to expand...

Labor costs don't have to be measured in $$.
 
Home brewing has saved me tons of money in beer costs.

Well, except for exploring commercial examples of styles that I hadn't experienced before.

And equipment that would not be needed for anything but brewing.

And books on brewing.

And magazine subscriptions.

And AHA membership.

And shipping for beer comps.

And the trip to NHC.

And the draft system.



But I sure save money on buying six packs of beer. I just can't seem to find those savings anywhere.
 

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