Buy vanilla beans. A quarter-pound bag will yield enough for 2 to 4 16-ounce bottles of vanilla extract, depending on bean size.

Get a bottle to store your extract. An old well-sterilized vinegar or oil bottle, small wine bottle, or an old glass vanilla bottle will work. Or buy new ones from SpecialtyBottle.com. An amber bottle will better protect the extract from light and heat.

Buy alcohol. Vodka is preferred as it is colorless and flavorless.

Use 1 whole vanilla bean for every 2 liquid ounces of alcohol. Split each bean lengthwise and drop in your empty bottle. Fill to a 1/2-inch from the top with alcohol. Give it a few shakes and place it somewhere that you'll see it, like a cabinet away from light.

For the first week or two, give the bottle a little shake whenever you see it. Within 5 days, your extract will already be a medium amber color. Wait 4 to 6 weeks for maximum flavor.

When last year's bottle dips near the 1/3 full mark, start the new batch so it is ready when needed. You can reuse 'spent' beans by adding fresh alcohol, but using 6 fresh beans and 2 spent ones is also an option.