Calculate a practical selling price based on food cost and your target food-cost percentage.
Enter the total cost of the menu item and your target food-cost percentage. The calculator will determine the recommended selling price, gross profit, and—if you enter your current menu price—how your existing price compares with the target.
How to Use the Menu Pricing Calculator
1. Enter the Total Item Cost
Use the complete food cost of one finished menu item or portion. Include all ingredients that materially affect the cost.
2. Enter Your Target Food-Cost Percentage
Enter the food-cost percentage you want the item to achieve. For example, enter 30 for a 30% target.
3. Enter the Current Menu Price — Optional
If the item is already on the menu, enter its current selling price. The calculator will compare current performance with your target.
4. Choose a Pricing Round
You can use the exact calculated price or round upward to the nearest $0.50, .95, or .99.
5. Click Calculate Price
The calculator will show the recommended price, gross profit, gross margin, and current-price comparison.
How Menu Pricing Works
The basic pricing formula is:
Selling Price = Item Cost ÷ Target Food-Cost Percentage
For example:
Item cost: $6.00
Target food cost: 30%
$6.00 ÷ 0.30 = $20.00 selling price
At a $20 selling price:
- Food cost = 30%
- Gross profit = $14.00
- Gross margin = 70%
A mathematically correct menu price is not automatically the right market price. Always consider contribution margin, labor, overhead, competition, perceived value, portion size, menu position, and guest expectations before changing prices.