Restaurant Recipe Cost per Saleable Portion
Portion cost = (ingredients + labour) / (portions × (1 − loss))
Gather recipe sheets, supplier invoices and stock counts. Include ingredients, service labour, and facility overhead. The starting figures are examples. Replace them with your own records.
Formula and worked example
Portion cost = (ingredients + labour) / (portions × (1 − loss))
| Input | Example |
|---|---|
| Ingredient batch cost | 90 |
| Batch preparation labour | 30 |
| Produced portions | 60 |
| Unsaleable share | 5 % |
| Calculated result | 2.1053 per saleable portion |
Choose reliable inputs
Track purchased quantities, usable yield, labour and waste before deciding on a selling price. For this restaurant calculation, use recipe sheets, supplier invoices and stock counts and a consistent definition of one cover.
- Ingredients: include the portion belonging to this cover or reporting period, and record where the value came from.
- Service labour: include the portion belonging to this cover or reporting period, and record where the value came from.
- Facility overhead: include the portion belonging to this cover or reporting period, and record where the value came from.
Use the same currency for every money input. Do not mix weekly costs with monthly revenue, or count the same expense in both an itemised cost and allocated overhead.
Should damaged or spoiled portions count in the denominator?
Use saleable yield, with loss below 100%. Packaging, delivery and fixed overhead must be added separately.
What if this input changes?
If ingredient batch cost rises by 10%, this example changes by 0.1579 per saleable portion. This shows the effect of one change; it does not predict what will happen.
Open the calculator, save your baseline, then change the input supported by the least reliable estimate in your records. Compare both scenarios before committing to a price or capacity promise.