I have never understood what the hell "free as in beer" means either.
Even as a non-latin speaking person I can identify the difference between those types of "free".
Or, alternatively "Free as in Freedom", which is another phrase I've heard coming from the FSF.
As in, "hey come to the seminar with me on Thursday: there's pizza and free beer."
Free as in beer is used in contrast with Free as in freedom, and refers to something made available free of charge.