Food cost percentage calculator

Two numbers in, the percentage out — and the reverse, for when you know the percentage you want and need the price.

Food cost
24.4%
Gross margin per sale
$5.67

Price at 28% food cost
$6.54

arithmetic on your numbers, not a recommendation

The formula, and the trap in it

The division is trivial; the trap is the numerator. A food cost percentage computed from a guessed plate cost is a precise-looking wrong number. If your plate cost came from a spreadsheet cell someone typed a year ago, start at the food cost calculator instead — it builds the plate cost from pack prices and yields, then this percentage is worth trusting.

Common questions

What is the food cost percentage formula?
Food cost percentage = (cost of the dish ÷ selling price) × 100. A plate that costs $1.83 and sells at $7.50 runs at 24.4%. The same formula rearranged gives pricing: selling price = plate cost ÷ target percentage.
Should the percentage include labour?
Classic food cost percentage is ingredients only; labour lives in prime cost (food plus labour), which operators usually track separately. Mixing labour into the food number makes it impossible to compare against supplier price changes, which is the main thing the percentage is for.
Is a lower percentage always better?
No. Percentage ignores dollars: a 40% food cost dish leaving $9 of margin can beat a 25% dish leaving $4. Use the percentage to spot drift and compare like with like, and use margin per sale to decide what earns its place.