Put the sugar and water in a sauce pan and put it over medium heat and cook until all sugar is melted.

DO NOT STIR IT. You can swirl the pan a bit - but don't stir. It will cause it to crystalize later in the bottle. You don't want that, so DON'T STIR.

After all the sugar is melted, take it off the heat and add in the spice and vanilla. Swirl the pan until it is all incorporated well.

Let sit in pan until completely cool. Strain the syrup with cheesecloth to remove all of the spice sediment then pour into a bottle. Keep refrigerated.