How Much Cheaper Is It to Drink at Home?
I had a serious case of sticker shock at a bar in downtown Chicago when a bartender told me that I owed $8.50 for a rum and coke. Iâ€™m from a smaller town where Iâ€™m used to paying half that on the rare occasion we go out.
Iâ€™m the kind of guy that likes to sit on my deck with some friends and throw back a few cold ones or mixed drink or two. I know itâ€™s cheaper to drink at home, but staring at my $8.50 rum and coke I wondered just how much cheaper.
Cost of Rum and Coke Supplies:
- Captain Morgan Spiced Rum: 1.75L bottle for $24.99
- 1.75L = 56 fluid oz = $0.45 per ounce
- Coca Cola: 2L bottle for $0.99
- 2L = 64 fluid oz = $0.015 per ounce
Making the Drink:
- 2 ounces of Rum ($0.45 per ounce) + 4 ounces of Coke ($0.015 per ounce) = $0.96
I can make my own drink at home for under $1 a drink!
How about beer?
A can of beer at my favorite watering hole runs $4.95. How much would drinking the same beer cost me at home?
- A case of my usual brand of beer costs about $18.
- $18 / 24 cans per case = $0.75 per can.
Thatâ€™s a markup of 660% for a can of beer!
I understand why the prices in bars are higher. Youâ€™re not only paying for the drink, the cost of the bartender, the building, the entertainment as well as some pocket money for the owner is all built into the price of the drink. There are certainly reasons why I would go out to a bar and pay higher prices too. Maybe thereâ€™s a band I want to see, or my wife and I decide to go to the local comedy club.
But when you pay for your next drink at the bar, think of this post and remember just how much the bar is inflating the price. You might just end up sitting on your deck with your closest friends instead.
Brought to you courtesy of Brock
Brock is a software engineer by day and personal finance blogger at night. He is a fitness junkie and enjoys grilling and smoking meat. Married with two children, Brock strives to improve his skills as a husband and father, and is always on the lookout to stretch his family’s budget as far as he can.