Food Cost Calculator
Work out your food cost per dish, find the right menu price, and understand your margins. Takes 30 seconds.
Your Dish Details
If this recipe makes 4 servings, enter 4
Enter to see your actual food cost %
Your Cost Analysis
Food Cost Per Portion
Add ingredients to see results
Cost Breakdown
Based on your target of , you could charge more.
Your pricing is on target.
Revenue
Food cost
Gross profit
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What is Food Cost Percentage?
Food cost percentage is the ratio of ingredient costs to the menu price of a dish. It's one of the most important metrics for any food business because it directly affects your profitability. A small shift in food cost percentage can mean the difference between a profitable month and a loss.
Food Cost % = (Ingredient Cost ÷ Menu Price) × 100
For example, if a dish costs £1.65 in ingredients and you sell it for £5.50, your food cost percentage is 30%. This means 30p of every pound you take goes to ingredients.
How to Calculate Food Cost
- List every ingredient in the dish
- Calculate the cost of each ingredient per portion
- Add up all ingredient costs — this is your total food cost
- Divide by your menu price (or target menu price)
- Multiply by 100 for the percentage
What's a Good Food Cost Percentage?
The 'right' food cost percentage depends on your business type, location, and overhead costs. Here are general guidelines:
| Business Type | Target Range | Notes |
|---|---|---|
| Restaurant | 28–35% | Higher end for fine dining with premium ingredients |
| Takeaway | 25–32% | Lower overheads can offset tighter margins |
| Café | 25–35% | Coffee and drinks typically have lower food cost than food items |
| Bakery | 25–35% | Flour-based items can achieve excellent margins |
| Pizza | 20–30% | Dough-based dishes typically have lower food costs |
| Catering | 25–35% | Factor in transport, staffing, and equipment costs |
Tips to Reduce Food Cost
- Negotiate with suppliers or buy in bulk for high-volume ingredients
- Standardise portion sizes to reduce waste and inconsistency
- Track waste daily — knowing where food goes is the first step to keeping costs down
- Review menu pricing quarterly as ingredient costs change
- Use seasonal ingredients when possible — they're cheaper and taste better