When I decided to work from home, I had just turned down a really good job offer that was a major salary increase from my last job. It was a tough decision, but I knew having my freedom and dedicating myself to work I love was going to yield far better results down the road. My salary has now reached the level of that job offer, but it took a few years. That said, I've still come out ahead because of the amount of money I save on transportation, food, and clothing.
Before I started working from home, I got into the habit of taking taxis, Ubers, and Vias to work, due to my profound dislike of public transportation. I also routinely overspent on the aforementioned coffee runs and lunches.
The cost of my required transportation is pretty limited now, and those expensive must-get-to-work Uber rides have fallen off. Food and beverage are a fraction of the cost, since I make good use of being at home. Plus, I wear what's already in my closet since no one at my home office is paying attention to my outfits. These things have made a significant difference in my net income.