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Food cost percentage calculator

Enter your numbers for any period (a week or a month) to get your actual food cost %.

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Your results
Cost of goods sold (COGS)$6,510.00
Food cost %28.6%

1.4 points under target

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Includes typical food cost ranges by restaurant type, the most likely reasons yours is high, and what each point is worth at your sales.

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How to calculate food cost percentage

Food cost percentage tells you how much of every sales dollar went to food. The standard formula is:

(Beginning inventory + Purchases − Ending inventory) ÷ Food sales

Worked example

You start the week with $8,420 of food on the shelves, buy $5,960 more, and count $7,870 at the end. That means you used $6,510 of food (your cost of goods sold). With $22,760 in food sales, your food cost is 6,510 ÷ 22,760 = 28.6%.

Getting accurate numbers

  • Count on the same day and time each period, before deliveries are put away.
  • Use the price you actually paid on the invoice, not last month's price.
  • Count food only. Keep paper goods, cleaning supplies and liquor out of food inventory.
  • Use food sales only, not total sales with beverages.

Frequently asked questions

What is a good food cost percentage for a restaurant?

In 2024 the median was 32.0% of sales for full-service restaurants and 32.4% for limited-service restaurants (food and non-alcoholic beverages, National Restaurant Association). Full-service restaurants with $2 million or more in sales came in lower, at 31.0%, and those under $2 million higher, at 33.7%. The right number for you depends on your concept, menu and prices. Track it every period and watch the trend; a sudden jump usually means waste, theft, a price increase or a counting error.

Why is my food cost percentage so high?

The usual causes are supplier price increases that never made it to menu prices, over-portioning, waste and spoilage, unrecorded comps, theft, and counting mistakes. Comparing your actual food cost to what your recipes say it should be helps you find which one it is.

How often should I calculate food cost?

Weekly is best for most independent restaurants. Monthly works, but by the time you see a problem you've already paid for a month of it.

Should I include beverages?

Keep food and beverage separate. Calculate food cost with food purchases and food sales only, and track bar cost on its own.

Stop doing this math by hand.

Culimise Inventory does it automatically from your counts, invoices and recipes.

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