How do you calculate plate cost?
Plate cost is what it costs you to make one plate. To work it out, find the price of each part, multiply by the amount on the plate, add the parts together, then compare the total to the menu price.
What is plate cost?
Plate cost is the cost of the food on one plate. A burger plate has a bun, beef, cheese, and a few extras. Each part costs something. Add them up and you have the plate cost.
Why care? Because the menu price has to cover the food, the people, the rent, and a little left over. If you do not know what a plate costs, you are guessing. Guessing is how a favorite dish ends up losing money.
You can calculate plate cost on paper. You need a recipe, the prices you pay, and a calculator. All the numbers below are made up to show the steps. They are not typical, and your own numbers will be different.
How do you calculate plate cost, step by step?
- Write the recipe for one plate. List every part and how much goes on the plate. Include the small things, like sauce and garnish.
- Find the price per unit. If a case of cheese slices costs a set amount and holds a set number of slices, divide to get the price of one slice.
- Multiply by the amount on the plate. One slice times the price of a slice. Half a pound of beef times the price of a pound.
- Add all the parts. That total is your plate cost.
- Compare it to the menu price. Divide the plate cost by the price. That gives you the share of the price that is food.
Pick Chef Maya in the pretend kitchen and say “What does the burger cost us?” Try the demo
What does a worked example look like?
Let us cost a simple burger. Everything in these tables is an example. The numbers are round and made up, not typical, so the math is easy to follow.
| Part | Example price per unit | Amount on the plate | Example cost on the plate |
|---|---|---|---|
| Ground beef | $4.00 a pound | Half a pound | $2.00 |
| Bun | $0.50 each | One | $0.50 |
| Cheese slice | $0.25 each | One | $0.25 |
| Lettuce and tomato | $0.25 a plate | One serving | $0.25 |
| Sauce | $0.25 a plate | One serving | $0.25 |
| Total plate cost | $3.25 |
Now compare it to the menu price. In the next table, the example burger sells for a round, made-up price. It is not a price to copy.
| Example plate cost | Example menu price | Share of the price |
|---|---|---|
| $3.25 | $13.00 | 25% |
Read the last number this way: out of what the guest pays, a quarter goes to the food on this plate. That is an example, not a target. What is right for you depends on your kitchen.
What are yield and trim?
Here is where a lot of costs go wrong. You pay for the whole thing, but you cannot use the whole thing.
Trim is the part you cut off and throw away. Think of onion skins, pepper stems, and fat on a steak. Yield is the part you can actually use after trim and cooking. Meat also loses water in the pan, so a cooked portion weighs less than a raw one.
So the price of the part you can use is higher than the price on the invoice. Here is a small example. These numbers are made up too.
| What | Example amount | Example cost |
|---|---|---|
| Bought | 10 lb of peppers | $20.00 |
| Price paid per pound | $2.00 | |
| Usable after trim | 8 lb | |
| Price per usable pound | $2.50 |
Look at the last rows. The price we paid per pound is lower than the price of a pound we can use. Use the usable price in your plate cost. Skipping this step is an easy way to end up with a plate cost that is too low. We will not give you a trim number to copy, because it depends on the knife, the cook, and the produce.
How often should you redo plate costs?
Prices move. Check your plate costs when a price changes a lot, when you change a recipe, or when you plan a new menu. A quick look every few months is better than never.
Waste matters too. If a dish keeps getting thrown out, its true cost is higher than the math shows. A waste log helps you see that.
What should you do with the number?
A plate cost is a tool, not a grade. Once you have it, ask what it tells you.
- Is the share of the price too high? You can raise the price, shrink the portion, or swap one costly part for a cheaper one.
- Is one part doing most of the damage? Often one item, like the protein, is a big piece. That is where a small change helps.
- Does the dish sell well? A dish that sells a lot at a thin margin may still be a good dish. Think about the whole menu.
Change one thing at a time. Then cost the plate again. Guests notice a smaller portion, so be careful. Sometimes a better move is to make the plate look fuller, with a bit of cheap garnish or a different plate.
How does Heard work out plate cost?
Heard adds up the recipe from the case prices and shows what one plate costs to make. It also shows what share of the menu price that is. Only the chef can ask. You can read more on the plate cost page.
The prices in the demo are sample data from a pretend kitchen. Try the demo, pick Chef Maya, and ask “What does the burger cost us?”
Quick questions
What is plate cost?
It is what it costs to make one plate, from adding up every part on the plate.
How do you calculate plate cost?
Find the price of each part, multiply by the amount on the plate, add the parts, and compare the total to the menu price.
What are yield and trim?
Trim is the part you cut off and throw away. Yield is the part you can use. Cost the part you can use.