Free Food Cost & COGS Calculator
Calculate accurate Cost of Goods Sold (COGS), prep yield loss %, packaging costs, and gross margins for your restaurant and commercial kitchen.
Simulate recipe cost & margin live.
Tweak ingredient purchase costs, prep waste %, sub-recipe portions, and packaging to watch the live profit margin update in real time.
What this dish costs
Formula: $ 3.80 ÷ 82% = Effective $ 4.63
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The Essential Food Costing Formulas
Master the mathematical formulas used by top culinary directors and head chefs.
1. Total Cost of Goods Sold (COGS)
COGS = Raw Ingredients Cost + Sub-Recipes Cost + Packaging Materials + Direct Prep Overhead.
2. Effective Price with Prep Yield % Loss
Effective Unit Cost = (Purchase Price / Conversion Factor) / (Yield % / 100). E.g., 1kg onions peeled with 80% yield costs 25% more per usable gram.
3. Gross Margin Percentage
Gross Margin % = ((Selling Price - COGS) / Selling Price) * 100. Target minimum 60-70% for healthy F&B profitability.
F&B Industry Margin Benchmarks
Recommended target gross margins and food cost percentages by culinary segment.
| Kitchen Category | Target Food Cost (%) |
|---|---|
| Bakery & Pastry | 22% – 28% |
| Café & Coffee Bar | 15% – 25% |
| Casual Dine-In Restaurant | 28% – 35% |
| Cloud & Virtual Kitchen | 25% – 32% |
The 28% – 35% Food Cost Benchmark: Why It Decides Restaurant Survival
Frequently Asked Questions
Common food costing and menu pricing questions answered by kitchen operations experts.
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