Free restaurant profit check
Type in one month's sales and costs to see your food cost, labour, prime cost and rent as a share of sales, and what's left as profit before tax. Prime cost is food and drink cost plus total labour, divided by net sales. It all works in your browser.
Profit check calculator
$2,747
5.7% of sales. Prime cost is 70.0% of sales.
| Food and beverage cost | 34.0% | $16,388 |
|---|---|---|
| Labour | 36.0% | $17,352 |
| Prime cost | 70.0% | $33,740 |
| Rent and occupancy | 10.0% | $4,820 |
| Other operating costs | 14.3% | $6,893 |
| Profit before tax | 5.7% | $2,747 |
What this tells you
- Prime cost is 70.0% of sales. Many full-service restaurants aim for prime cost around 60–65% of sales; your own target depends on your rent, menu and service style.
- Labour is the bigger part of prime cost this month: 36.0% of sales, against 34.0% for food and beverage.
- Each point of prime cost is about $482 a month at these sales.
Want us to check your real numbers?
Book a free 15-minute callThis is an automated estimate, not a reviewed report. It is general information, not financial or tax advice. Results are as good as the figures you enter, and one month can be skewed by timing, such as a big delivery just before month-end.
The sums behind your result
Every line is shown as a share of net sales, so a busy month and a quiet month can be compared on the same scale.
Sales: leave the taxes and tips out
GST, and BC PST on liquor, belongs to the government. Tips belong to staff. Left in, they make every percentage look lower than it is.
Food cost: count if you can
Purchases tell you what you bought. A count at the start and end of the month tells you what you used. How to work out food cost.
Labour: include the employer costs
Vacation pay, employer CPP and EI, workers' compensation premiums and benefits are part of what staff cost you. Tips and payroll.
What to look at next
One month is a snapshot. The trend over several months, and which line moved, tells you more.
If food cost moved
Check your inventory counts, waste, comps and staff meals, then the cost of your best-selling dishes against their menu prices.
Food cost and inventoryIf labour moved
Set scheduled hours beside sales for each day and shift. Quiet shifts staffed like busy ones are usually where labour drifts.
Restaurant CFOIf the margin is thin
Rent and most overheads don't fall when sales do, so prime cost is where most of the room is. Work your target backwards from the profit you want.
Set your own targetWant us to check your real numbers?
On a free 15-minute call we'll go through your month with you and explain what we'd look at first.
Restaurant profit check, answered
How do I work out prime cost?
Add your cost of goods sold (food, drink and alcohol) to your total labour, including employer payroll costs, then divide by net sales and multiply by 100. On $48,200 of sales with $16,388 of cost of goods sold and $17,352 of labour, prime cost is $33,740, or 70.0% of sales.
Should I enter purchases or cost of goods sold?
Cost of goods sold if you can: opening inventory plus purchases minus closing inventory. If you don't count inventory, enter the month's purchases, but a big delivery just before month-end, or a cupboard that ran down, can make food cost look higher or lower than what you really used.
What should I include in wages?
Gross wages and salaries for the kitchen, front of house and managers, vacation pay, the employer share of CPP and EI, WorkSafeBC or WCB Alberta premiums, and any benefits you pay. Leave out tips paid to staff, and leave them out of sales too.
What is a good prime cost for a restaurant?
Many full-service restaurants aim for prime cost around 60–65% of sales. Your own target depends on your rent, menu and service style, and is best worked out backwards from the profit you want.
Is what I type stored anywhere?
No. The profit check runs entirely in your browser. Nothing you type is stored or sent to us or anyone else, and it is gone when you close the page.
My prime cost is high. What should I look at first?
Look at whichever of food or labour moved most since last month. For food, check your inventory counts, waste, comps and recipe costs. For labour, compare scheduled hours with sales by day and shift. Then book a free 15-minute call and we'll look at your real numbers with you.
Sources, checked 27 Oct 2026. The food cost, prime cost and profit formulas on this page are standard management-accounting methods, not government rules, and the 60–65% prime cost range is a common industry rule of thumb, not an official figure. Official sources are listed only for the tax and payroll facts. Rules have exceptions and can change. This page is general information, not legal or tax advice for your situation.
- Excise Tax Act, s. 169 (laws-lois.justice.gc.ca): input tax credits for registrants on GST/HST paid on business purchases.
- Government of BC, Provincial sales tax (last updated 21 Sep 2026), gov.bc.ca: 7% general rate; the planned PST on accounting and other professional services is paused. Alberta has no PST.
- Government of BC, Food and beverage service providers and retail liquor sellers, gov.bc.ca: 10% PST on liquor.
- CRA, Employers' Guide, Payroll Deductions and Remittances (T4001), canada.ca: deduct income tax, CPP and EI, add the employer share of CPP and EI, remit to CRA, and issue T4 slips.
- WorkSafeBC, Who does and doesn't need coverage?, worksafebc.com: employers that hire workers or unregistered subcontractors need coverage unless exempt.
- WCB-Alberta, Worker coverage, wcb.ab.ca: employers in mandatory industries open an account within 15 days of hiring a first worker; contract workers count unless they keep their own WCB account.
Talk it through with us on a short call
Book a free 15-minute call by video or phone. Bring last month's sales and costs, and we'll talk through what they show and how we'd keep them in view every month.
Which office?
Book a free 15-minute call15-minute calls every weekday at 10 am and 2 pm Pacific (11 am and 3 pm Mountain), except holidays.
Typical next slots, confirmed when you book:
Call (236) 300-3322Email contact@finvo.caMon–Fri, 9 am – 5 pm PT/MT5.0 on Google · 92 reviews