Start with purchase cost
Enter what the supplier package costs, how much is in the package, and the package unit. PrepMargin converts that into an ingredient cost for the amount used in the recipe.
Restaurant food-cost percentage
See the food cost behind a menu price.
Food-cost percentage is a simple way to compare the cost of making a dish with the price a guest pays. It is useful for a fast pricing check, but the inputs only help when package prices, yields, and portions are reviewed.
Food-cost percentagecost per serving ÷ menu price × 100Use the current menu price before tax and the editable recipe cost for one sellable serving.
A practical workflow
Use a sellable serving
Set the yield to the number of portions actually sold. A pan that produces ten portions and a pan that produces eight do not have the same cost per serving.
Compare it with the menu
Add the current menu price. The percentage is a prompt to review the dish, not a universal pass/fail score—service model, labor, waste, and sales mix still matter.
A quick example
If a recipe costs $3.60 per serving and the dish sells for $14.00, the food-cost percentage is about 25.7%. If the supplier price rises, recalculate using the new package cost before changing the menu.
Common questions
What is included in food cost?
For this calculator, it is the editable cost of the ingredients in one recipe serving. It does not automatically include labor, rent, taxes, delivery fees, or waste unless you choose to reflect those in your inputs.
What food-cost percentage should my restaurant target?
There is no single right target. Use the target that fits your concept and gross-margin plan, then compare every dish against it consistently.