How to Price a Menu

Cost the plate honestly, divide by your target, round like a menu — the whole method, with a worked example.

Menu pricing has exactly one formula and a hundred ways to feed it bad inputs. The formula: price = full plate cost ÷ target food-cost %. The craft is in the inputs.

1. Cost the recipe — all of it

Every ingredient at its as-purchased cost adjusted for yield: the trimmed weight of the protein, not the invoice weight; the usable portion of the produce case, not the crate. Yield losses of 10–30% on proteins and produce are where most "my food cost is fine" stories quietly fail. The workbook's recipe sheet does this line by line; for quick pricing, use your best per-serving number and be honest about it.

2. Add the Q factor

Oil, butter, salt, garnish, condiments, the bread basket — everything that reaches the table without appearing on a recipe. Untracked, it runs 5–12% of ingredient cost. Add it as a percentage and stop donating it.

3. Divide by your target

Quick service targets 25–30%, casual full-service 28–35%, fine dining 30–40%. The target isn't a grade — it's the share of the check you can afford to spend on food after your labor and rent take theirs. How to pick yours.

4. Round like a menu, then sanity-check contribution

Round up to your menu's endings (.50 or .95), then look at gross profit per plate × expected volume. A dish can pass the percentage test and still not earn its menu slot — and how you present the price matters more than you'd think.

The worked example

A pasta entrée: ingredients cost $3.85 per serving, Q factor 8%, to-go packaging averages $0.20, target 30%, selling ~60 a week:

LineMathAmount
Ingredients$3.85
Q factor8% × $3.85$0.31
Packaging$0.20
Full plate cost$4.36
Raw price$4.36 ÷ 0.30$14.53
Menu pricerounded up to .50$15.00
Actual food cost$4.36 ÷ $15.0029.1%
Gross profit / plate$10.64
Weekly contribution× 60 servings$638

Price the same dish "by feel" at $12.95 and the food cost is 33.7% — three points, $2.05 a plate, $123 a week, $6,400 a year. From one item. That's what re-costing a menu is worth.

The mistakes that eat menus

Do this in 30 seconds instead

The free calculator runs this exact math with a target-comparison table. The $29 workbook adds full recipe costing with yields, whole-menu pricing, a menu-engineering matrix, and a weekly food-cost tracker.

Free Menu Pricing Calculator