Why the number matters
Spreadsheet vs recipe costing software: when to switch always starts from true usable portion cost — not the raw purchase price. Skip yield or unit conversion and your spreadsheet quietly lies.
The formula
Food cost % = (portion cost ÷ ex-tax menu price) × 100. Pick a target (often 28–35% for full-service), then suggested price = portion cost ÷ (target ÷ 100).
| Item | Example |
|---|---|
| Portion cost | $3.60 |
| Menu price | $14.00 |
| Food cost % | 25.7% |
Concrete steps
- List every ingredient with pack size and price.
- Apply yield (trim loss).
- Convert units (kg → g, L → ml).
- Sum and divide by portions.
- Compare to your target.
Where kitchens go wrong
Ignoring sub-recipes, forgetting cooking oil, mixing tax-in and tax-out prices, or never updating a supplier quote. That is exactly what supplier-price propagation is built to stop.
Try it now
Run the math in the portion cost calculator, then keep live recipes in the FoodCost free trial so threshold alerts fire when prices move.
One last habit: date every price. Without history you cannot explain last week's margin slide — or an inventory variance — to your team.
PixPlat Kitchen Ops · Food cost editors
Last updated July 15, 2026