What is food cost per serving?
Food cost per serving is the ingredient cost of a single portion. You calculate it by adding up the ingredient cost of a whole batch and dividing by the number of portions that batch produces.
Food cost per serving = total batch ingredient cost ÷ number of servings
Portion size decides the number
Cost per serving is only meaningful if your portions are consistent. A 'serving' that drifts from 280 g to 340 g quietly moves your cost by 20%.
Weigh a few portions during service. If they vary widely, scoops and a scale will do more for your margin than any price negotiation.
Batch size changes the answer
Larger batches usually cost less per serving because sauces, stocks and seasoning scale more slowly than proteins. Calculate at the batch size you actually cook, not the one you wish you cooked.
Worked example
A batch of chilli that yields 12 servings:
- Beef mince, 2 kg
- $18.80
- Kidney beans, 1.2 kg
- $3.60
- Tinned tomatoes, 2 l
- $3.40
- Onions, peppers, spices
- $4.20
- Total batch cost
- $30.00
$30.00 ÷ 12 = $2.50 food cost per serving.
Frequently asked questions
Is food cost per serving the same as cost per meal?
No. Food cost per serving covers ingredients only. Cost per meal adds packaging and any other per-meal cost, which is what you need before setting a price.
Should I include the cost of failed batches?
If waste is routine, build it in. Adding 3-5% to your ingredient cost is a simple, honest way to reflect spillage, spoilage and the occasional ruined tray.