Picture this: you're eyeing that shiny new espresso machine, but you're unsure if it'll actually save money or drain your profits. Most café owners calculate coffee beans and milk but completely overlook machine depreciation. You need the full picture to make a smart investment decision.
Gather all costs of your espresso machine
For accurate cost calculation, add up not just the purchase price but every related expense:
- Machine purchase price: What you pay for the machine itself
- Installation costs: Connection, training, first service
- Maintenance contract: Annual service costs
- Energy consumption: Extra electricity costs per day
💡 Example:
You're considering a new espresso machine for €8,500:
- Purchase price: €8,500
- Installation: €350
- Maintenance contract: €600/year
- Extra energy costs: €180/year
Total investment first year: €9,630
Calculate depreciation per cup
An espresso machine typically gets depreciated over 5-7 years. Divide total costs by the number of cups you expect to make:
Depreciation per cup = (Total investment / Depreciation years) / Number of cups per year
💡 Example calculation:
Machine of €8,500, depreciation over 6 years, 150 cups per day:
- Annual costs: (€8,500 + €350) / 6 years = €1,475/year
- Plus maintenance + energy: €1,475 + €600 + €180 = €2,255/year
- Cups per year: 150 × 300 working days = 45,000 cups
- Depreciation per cup: €2,255 / 45,000 = €0.05
The machine costs you €0.05 extra per cup
Add to your current cost price
Add machine depreciation to your existing cost price of coffee, milk, and other ingredients:
- Coffee beans: Usually €0.15-€0.25 per espresso
- Milk: €0.08-€0.12 for cappuccino/latte
- Machine depreciation: Your calculated amount
- Energy + water: Approximately €0.02-€0.03 per cup
💡 Total cost price cappuccino:
- Coffee beans: €0.20
- Milk: €0.10
- Machine depreciation: €0.05
- Energy/water: €0.03
Total cost price: €0.38 per cappuccino
Compare with your current situation
Also calculate costs of your current machine to see the difference. An old machine often has:
- Higher energy costs: Older machines consume more electricity
- More maintenance: More frequent repairs and parts
- Slower operation: Fewer cups per hour possible
⚠️ Note:
Don't forget labor costs. A faster machine means your barista can make more cups per hour, which lowers labor costs per cup.
Determine if the investment pays for itself
I've seen this mistake cost cafés €200-400 per month: they buy expensive machines without calculating true payback periods. A more expensive machine pays for itself if:
- Total costs per cup become lower
- You can make more cups per hour
- You have less downtime from defects
- Quality improves (more satisfied customers)
Calculate how much you save per year and divide that by the extra investment. That gives you the payback period.
How do you calculate the impact of a new espresso machine? (step by step)
Gather all costs of the new machine
Add up the purchase price, installation, maintenance contract, and extra energy costs. Don't forget additional costs like training or extra accessories.
Calculate depreciation per cup of coffee
Divide the annual costs by the number of cups you expect to make. Work with realistic numbers based on your current sales.
Add to your ingredient costs
Add the machine depreciation to coffee, milk, and energy to get your new cost price per cup. Compare this with your current cost price to see the difference.
✨ Pro tip
Track your barista's output for exactly 7 days before and after machine installation. A 25% speed increase means you can reduce labor costs per cup by that same percentage.
Calculate this yourself?
In the KitchenNmbrs app you can do this in just a few clicks. 7 days free, no credit card.
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Frequently asked questions
Over how many years do I depreciate an espresso machine?
Usually 5-7 years, depending on intensity of use. A machine that makes 300+ cups per day gets depreciated faster than one making 50 cups daily.
Should I include VAT in my cost price calculation?
No, calculate with the price excluding VAT. You pay 21% VAT on the machine, but you can claim it back as a business owner through your VAT return.
How do I factor in labor costs with a faster machine?
Calculate how many cups your barista can make per hour with old vs. new machine. Divide your hourly wage by the number of cups for labor costs per cup.
What if I lease instead of buy?
With leasing, calculate using monthly lease costs plus maintenance. Divide this by your monthly coffee sales for costs per cup.
How often should I update my cost price calculation?
Check coffee prices quarterly and machine costs annually. Suppliers regularly raise prices, which affects your cost price.
Does water quality affect machine depreciation costs?
Absolutely. Hard water causes more limescale buildup, requiring frequent descaling and earlier replacement of internal components. Factor in water filtration costs if your area has hard water.
📚 Sources consulted
- EU Verordening 852/2004 — Levensmiddelenhygiëne (2004) — Official source
- EU Verordening 853/2004 — Hygiënevoorschriften voor levensmiddelen van dierlijke oorsprong (2004) — Official source
- EU Verordening 1169/2011 — Voedselinformatie aan consumenten (2011) — Official source
- NVWA — Hygiënecode voor de horeca (2024) — Official source
- NVWA — Allergenen in voedsel (2024) — Official source
- Codex Alimentarius — International Food Standards (2024) — Official source
- FSA — Safer food, better business (HACCP) (2024) — Official source
- BVL — Lebensmittelhygiene (HACCP) (2024) — Official source
- Warenwetbesluit Bereiding en behandeling van levensmiddelen (2024) — Official source
- WHO — Foodborne diseases estimates (2024) — Official source
Food Standards Agency (FSA) — https://www.food.gov.uk
The HACCP standards shown in this application are for informational purposes only. KitchenNmbrs does not guarantee that displayed values are current or complete. Always consult the FSA or your local authority for the latest regulations.
Written by
Jeffrey Smit
Founder & CEO of KitchenNmbrs
Jeffrey Smit built KitchenNmbrs from 8 years of hands-on experience as kitchen manager at 1NUL8 Group in Rotterdam. His mission: give every restaurant owner control over food cost.
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