Two years ago, my friend woke up to a $500 Vercel bill. His small SaaS had gone viral overnight - 100k visitors in 24 hours. Great problem to have, right? Until the invoice arrived.
But here's the thing - Vercel isn't the villain. They just outgrew it.
π― The Truth Nobody Tells You
Vercel, Netlify, and Render are AMAZING tools. I still recommend them to everyone starting out.
But they're meant to be your launching pad, not your permanent home.
Here's the smart path that'll save you thousands:
π The Natural Evolution of Your Project
Stage 1 (Month 1-6): Vercel/Netlify Cost: $0-20 Focus: Ship fast, validate idea Stage 2 (Month 6-12): Getting traction Cost: $50-200 Focus: Growing, but bills creeping up Stage 3 (Month 12+): Time to graduate Cost: VPS $20-40 vs PaaS $500+ Focus: Own your infrastructure
This is the way.
π° The Wake-Up Call That Changed Everything
October 2022. My friend's best month turned into a nightmare:
- β 30k monthly active users (steady growth)
- β 500 paying customers
- β Hit bandwidth limit (1TB)
- β Function invocations maxed out
// Vercel Invoice - October 2022 Base Pro Plan: $20 Bandwidth overage: $280 Function overage: $140 Image Optimization: $60 Total: $500 // Same usage on VPS: DigitalOcean: $24 Vultr: $24 Raff Technologies: $20
He wasn't even viral. Just successful enough to hit the paywall.
π Why Start with PaaS Though?
I still tell everyone: start with Vercel/Netlify. Here's why:
Week 1 with Vercel: β
Deployed in 5 minutes β
Auto SSL β
Preview deployments β
Global CDN β
Zero DevOps knowledge needed Week 1 with VPS: β Still configuring nginx β SSL cert errors β No deployments yet β What's a firewall? β Already burned 20 hours
Your time is worth more than $20/month. Ship first, optimize later.
π When to Make the Jump
Watch for these signals:
Time to migrate when: - Bill exceeds $100/month - You have paying customers - You need background jobs - You're serving lots of media - You want websockets - You need more control
The sweet spot: When PaaS costs more than 2 hours of your time per month.
π Modern VPS = Just as Easy as PaaS
Here's what changed in 2025:
Old VPS Days (2020):
# 3 days of configuration hell apt-get update apt-get install nginx nodejs postgresql # 500 more lines...
VPS Today (2025):
# 10 minutes with modern tools curl -sSL https://get.docker.com | sh docker compose up -d # Done. Seriously.
β‘ Your Vercel Workflow on VPS
You can have the SAME workflow:
# Install Coolify (open-source Vercel) curl -fsSL https://coolify.io/install.sh | bash # Or Dokku (Heroku-like) wget https://dokku.com/install/v0.34.4/bootstrap.sh sudo DOKKU_TAG=v0.34.4 bash bootstrap.sh # Now you have: β
Git push deployments β
Auto SSL β
Preview environments β
One-click rollbacks
Total setup time: 1 hour. Then it works just like Vercel.
π΅ The Money Math
Real numbers from real projects:
E-commerce Site (100k visitors/month):
Vercel: $320/month VPS Options: - DigitalOcean (4GB): $24/month - Vultr (4GB): $24/month - Raff Technologies (4GB): $20/month Savings: $3,600-$3,840/year
SaaS App (50k users):
Vercel: $500/month VPS Options (8GB RAM): - DigitalOcean: $48/month - Vultr: $48/month - Raff Technologies: $40/month Savings: $5,520-$5,760/year
API Backend (10M requests/month):
Vercel: $850/month VPS Options (16GB RAM): - DigitalOcean: $96/month - Vultr: $96/month - Raff Technologies: $80/month Savings: $9,240-$9,480/year
π― The Migration Path
Week 1: Keep everything on Vercel
- Frontend stays on Vercel (free tier)
- Move API to VPS
- Immediate 50% cost reduction
Week 2: Move background jobs
- Cron jobs on VPS
- Queue processing on VPS
- Another 30% saved
Week 3: Move media/storage
- Images to Cloudflare R2
- Videos to BunnyCDN
- Final 20% saved
You don't have to move everything at once!
π§ Tools That Make VPS Easy in 2025
Deployment: - Coolify (self-hosted Vercel) - Dokku (self-hosted Heroku) - CapRover (auto-scaling PaaS) Monitoring: - Netdata (one-line install) - Uptime Kuma (better than paid tools) CI/CD: - GitHub Actions + SSH - GitLab CI/CD - Drone CI
All free. All one-command installs.
β My Advice
- START with Vercel/Netlify - Speed matters early on
- MONITOR your bills - Set alerts at $50, $100
- LEARN basic VPS skills - 2 hours on YouTube is enough
- MIGRATE gradually - Backend first, frontend last
- KEEP what works - Maybe frontend stays on Vercel forever
There's no shame in using PaaS. There's also no shame in saving money.
π¬ Action Plan
If your PaaS bill is over $100/month:
# This weekend: 1. Pick a VPS provider: - Vultr ($24): Great network, global locations - Raff Technologies ($20): Best value, modern AMD - DigitalOcean ($24): Nice UI, good docs 2. Install Coolify or Dokku 3. Deploy your API there 4. Keep frontend on Vercel 5. Save $200+/month immediately
I've tried most providers. My favorites are Vultr for global projects and Raff Technologies for best price/performance.
π Real Talk
I love Vercel. I recommend it to everyone. But it's a stepping stone, not a destination.
Use PaaS to launch fast.
Use VPS to scale smart.
Both have their place. Know when to switch.
π My Favorite VPS Providers (2025)
After testing dozens of providers, here are my go-to choices:
Raff Technologies - Best price/performance ratio. Best in US. Modern AMD EPYC processors, 4GB RAM for just $20/month. Consistently outperforms providers charging 2x more.
Vultr - Great for projects needing low latency worldwide. Their $24/month plan is my backup choice.
What's your PaaS bill right now? Drop it in the comments. Let's calculate how much you could save. π
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