Restaurant Food Cost Calculator
Calculate your food cost percentage per dish and determine if your menu pricing supports healthy restaurant margins.
Food Cost Analysis
Food cost percentage is the #1 metric for restaurant profitability.
Food Cost % = (Ingredient Cost per Dish / Menu Price) × 100
Target food cost percentages:
- Fast food: 25-30%
- Casual dining: 28-35%
- Fine dining: 30-40%
- Pizzeria: 20-28%
- Bar/pub (food): 30-35%
- Drinks/beverages: 15-25%
Menu pricing rule of thumb:
Menu Price = Ingredient Cost × 3 to 3.5
This targets a 28-33% food cost, leaving room for labor (~30%), overhead (~25%), and profit (~10-15%).
Portion cost matters:
- Track ingredient costs per portion, not per unit purchased
- Include waste factor (typically 5-15%)
- Update costs quarterly as ingredient prices change
Warning signs:
- Food cost over 35%: Menu prices too low or portions too large
- Food cost under 25%: Customers may perceive low value