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Food cost calculator

What does the ingredient basket cost per saleable portion after the entered losses?

FreeNo signupU.S. dollarsUpdated October 4, 2026

A teaching example in the units shown below.

These authored example inputs illustrate the calculation. Replace them with your own documented amounts, periods and rates; they are not measured industry averages or available offers.

Recipe ingredients
Ingredient 1

Use a distinct name.

Quantity and unit cost must use this same unit; no conversion is performed.

Prepared amount needed for the batch.

Cost per as-purchased unit.

Usable quantity divided by purchased quantity, greater than zero through 100%.

Ingredient 2

Use a distinct name.

Quantity and unit cost must use this same unit; no conversion is performed.

Prepared amount needed for the batch.

Cost per as-purchased unit.

Usable quantity divided by purchased quantity, greater than zero through 100%.

Portions after ingredient preparation, before separate finished-portion waste.

Separate loss after preparation; do not count the same loss again in ingredient yield.

Price retained before the costs excluded from this ingredients-only tool.

Greater than zero through 100%. This is your planning target, not an industry recommendation.

Your entered scenario

Starting example

Calculation updated using the entered assumptions.

Ingredient cost per saleable portion$2.11
Ingredient share at entered price26.4%
Price at target ingredient share$7.04
Expected saleable portions9.00
Batch ingredient cost
$19.00
Ingredients-only remainder per portion
$5.89
Ingredients-only remainder / price
73.6%
Ingredient share at target price
30.0%
Read the formula ↓
Purchased quantities after preparation-yield adjustment
IngredientPurchase quantityUnitCost
Ingredient A5.000lb$15.00
Ingredient B2.000lb$4.00

Formula and interpretation

Purchased quantity = usable quantity ÷ preparation yield

Ingredient cost = purchased quantity × purchase unit cost

Saleable portions = prepared portions × (1 − finished-portion waste)

Target price = ingredient cost per saleable portion ÷ target food-cost share

To reproduce the worked example, choose Hypothetical arithmetic example under Starting example. Business presets have their own inputs; compare the selected values before applying the result.

Preparation yield converts an as-purchased ingredient into usable quantity. Finished-portion waste is a separate loss after the recipe is prepared.

Quantity and unit cost must use the same physical unit. Fractional expected portions are retained during calculation.

Worked example: four usable pounds of Ingredient A at 80% preparation yield require five purchased pounds, costing $15 at $3 per pound. Ingredient B adds $4. After 10% finished-portion waste, the $19 batch has nine saleable portions: about $2.11 ingredient cost each, or 26.4% of an $8 sale.

At a selected 30% ingredient-cost target the exact calculation gives about $7.04 per portion. The Juice Bar case also has labor, packaging and operating commitments; a price that covers ingredients alone can still fail to cover the business.

Definitions and sources

These references support definitions and calculation boundaries, not the selected amounts. Worked examples below use the hypothetical arithmetic inputs. A selected business preset has its own roster, cost allocation and evidence; its results can differ without a formula error.

  • Food Buying Guide: preparation yield — U.S. Department of Agriculture. Supports as-purchased versus prepared-quantity conversion. No USDA meal standard or yield value is applied to the restaurant example. Accessed October 4, 2026.
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Continue with a related calculation

Connect the calculation to a complete operating plan

Review startup uses, staffing, annual results and input evidence alongside the relevant worksheets. A single calculation does not replace local quotes or a dated cash schedule.

Read the Juice Bar & Smoothie Shop operating case →
Check the input evidence and limits →
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