I made these for the bakers in my family one year. I got a bunch of vanilla beans on line from Beanilla.
Vanilla Sugar
1 vanilla bean, whole or scraped
2 cups granulated sugar
If vanilla bean is whole, slice down side of bean with back of knife and scrape seeds into airtight container with the sugar. Bury bean in sugar and seal tightly with lid. Let sit for 1 to 2 weeks. Use as regular, granulated sugar.
Vanilla Extract
1 vanilla bean
1 mini bottle vodka (can also use bourbon or rum)
Split the vanilla bean lengthwise. Remove a bit of booze from the bottle, and stuff both halves of the vanilla bean into the bottle. Close the lid and let the vanilla bean steep for at least one week. Like most things, vanilla extract gets better with age, so make a few bottles!