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Mechanical vibrations can be effectively converted into electrical energy using a liquid type of energy harvesting device comprised of a ferrofluid and a permanent magnet-inductor coil assembly. Compared to solid vibration energy harvesting devices, the liquid nature of the ferrofluid overcomes space conformity limitations which allow for the utilization of a wider range of previously inaccessible mechanical vibration energy sources for electricity generation and sensing. This report describes the design and the governing equations for the proposed liquid vibration energy harvesting device and demonstrates vibration energy harvesting at frequencies of up to 33 Hz while generating up to 1.1 mV. The proposed design can continuously convert mechanical into electrical energy for direct discharge or accumulation and storage of electrical energy.