How calculations work

Total direct cost per serving

Direct cost per serving = (batch ingredient cost ÷ servings) + packaging per serving + other direct costs per serving

Ingredients are entered for the whole recipe or batch. Packaging (box, lid, label, cutlery, bag) and other direct costs (platform or payment fees, a share of delivery) are entered for one serving. The selling price is per serving too.

MealMargin does not include labour, rent, utilities or tax, so profit and margin are shown before labour and overhead — not net profit.

Batches

Ingredients are entered for the whole recipe. If a batch makes 8 portions, set servings to 8 and the ingredient cost is divided by 8. Packaging and other costs are already per serving, so they are never divided.

Profit before overhead

Profit per serving = selling price − direct cost per serving

Total batch profit = profit per serving × servings

This is before rent, your time, energy and tax. It's what each meal contributes toward those.

Margin

Margin % = profit per serving ÷ selling price × 100

There's no single right margin for every food business, so MealMargin doesn't label yours as good or bad. Set your own target and we show how far above or below it you are.

Food cost % (ingredients only)

Food cost % = ingredient cost per serving ÷ selling price × 100

Direct cost % (everything)

Direct cost % = direct cost per serving ÷ selling price × 100

Direct cost % and margin % always add up to 100%. Food cost % is lower whenever you have packaging or fees.

Price for a target margin

Price = direct cost per serving ÷ (1 − target margin)

$4.15 at a 60% target: 4.15 ÷ 0.40 = $10.38.

Cost from a purchase price

Cost used = pack price ÷ pack size × amount used

1 kg of chicken for $9.80, using 180 g: 9.80 ÷ 1000 × 180 = $1.76. Weights (g, kg, oz, lb) and volumes (ml, l, cup, tbsp, tsp) convert automatically.

Direct-cost floor

Direct-cost floor = direct cost per serving

Selling below this loses money on the direct costs in the calculator. It isn't a full business break-even: labour and overhead aren't included.

"What if?" changes

New value = current value × (1 + change% ÷ 100)

What-if changes are temporary and never overwrite your saved meal.

What we don't do

We don't guess ingredient prices, pull in market data, or convert currencies. Your numbers are only as good as the prices you enter — use your latest invoices.