Free Menu Price from Food Cost calculator with clear step-by-step results.
Menu pricing runs from ingredient cost divided by target food cost percentage, but two adjustments make the number usable: wastage has to be added to the recipe cost first, and tax has to be added to the net price last. Skipping either is how a 28% target quietly becomes 35%.
Net menu price
Net = ingredient cost x (1 + wastage) / target food cost percentage
Menu price shown
Gross = net menu price x (1 + sales tax rate)
Typically 25-32% for restaurants, lower for beverages and higher for premium proteins where diners expect the plate cost to show. It is a portfolio target, not a per-dish rule.
No. Cash gross profit per dish matters more than percentage. A steak at 40% food cost may contribute more cash than a pasta at 20%.