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Prime Cost Calculator

Prime cost is the only number that catches the trade between food and labour. Measure it weekly.

Sample inputs — replace with your numbers

$
$
$
%

65% is a widely quoted rule of thumb for table service, not a measured average; the National Restaurant Association's 2025 abstract reported a 65% median for limited-service. Set the ceiling your own P&L allows.

Illustrative sample, not a restaurant result.

Prime cost percentage

65.0%

Prime cost is 65.0%, inside your 65% target with $0 of room per period.

Prime cost
$31,200
COGS as % of sales
31.0%
Labor as % of sales
34.0%
Dollars from target (per period)
$0
Annualised gap (52 periods)
$0
What this number means →

Print the full calculation or share a clean link to this tool. To connect a purchase cost to a dish, enter its reviewed quantities in the recipe calculator.

Cost one recipe →

Common questions

Weekly or monthly?

Weekly. A month gives you twelve chances a year to notice a problem; a week gives you fifty-two. Use the same period boundaries for sales, inventory and payroll or you'll chase phantom swings.

Does prime cost include rent?

No. Rent, utilities, insurance and marketing sit below prime on the P&L. Prime cost is deliberately restricted to the two lines you can actually change this week.

My prime cost is under 60% — is that good?

Check it against your own ceiling first, and check it isn't the result of understaffing or deferred quality. Consistently very low prime cost with flat sales sometimes means you're under-investing in the thing guests came for.