Compute food cost %, compare ideal vs actual, model contribution margins, and price menu items to hit a target food cost.
Food Cost %
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Ideal vs Actual
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Contribution Margin
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Menu Pricing
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Food Cost Percentage
Food cost % = cost of goods sold ÷ food revenue × 100. The standard target for most restaurants is 25–35%.
Actual Food Cost %
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Dollar Over/Under Target
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vs target %
Profit Impact (per period)
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if at target
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Menu-Item Contribution Margin & Pricing
Enter each menu item. Target Menu Food Cost % sets the price via
price = item food cost ÷ (target % ÷ 100). Contribution margin = price − item food cost.
Item
Item Food Cost $
Suggested Price $
Contribution Margin $
Margin %
Ideal vs Actual Food Cost
Ideal food cost is what your cost % should be if every item sold at the correct portion and nothing was wasted,
stolen, or mispriced. Compare it against actual to gauge operational slippage (shrinkage).
Enter either Actual COGSorActual Food Cost %; the calculator uses whichever is populated.
IdealActual
Shrinkage (Actual − Ideal) %
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percentage points
Overrun Cost (Actual vs Ideal)
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extra $ spent above ideal
Verdict
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Typical acceptable slippage: ≤ 1 pt.
Benchmarks & Quick Reference
Typical food cost targets by restaurant segment, for context only.