I found this recipe on All Recipes.com and made up a batch last November. I used it to make tiramisu - a heavenly Italian dessert made with Mascarpone and ladyfingers.
Coffee Liqueur
2 cups water
1 1/4 cups white sugar
2 tablespoons fresh ground coffee beans
2 tablespoons vanilla extract
2 1/2 cups vodka
1. In a saucepan over medium heat, combine water, sugar, and ground coffee. Bring to a boil, reduce heat to low, and simmer for 10 minutes, stirring occasionally. Allow to cool, then remove grounds through a strainer. Stir in vanilla.
2. When cool, stir in vodka. Pour into a liquor bottle, and keep in a cool place.
I like to let this mellow for a week or two before using. Blended with equal amounts of cream, it makes a VERY decadent cocktail.