The menu pricing formula
Menu price = plate cost divided by target food cost percentage. If the tacos cost $3.25 to make and you want food cost at 30%, the price before rounding is $3.25 divided by 0.30, or $10.83. Rounded up to the next quarter, that's $11.00, and the real food cost at $11.00 is 29.5%.
Food cost percentage works the other way: plate cost divided by menu price. Use the "try your own price" box to check a price you already charge.
How to cost one portion
- Find the pack price on your supplier invoice.
- Work out the usable yield after trimming, bones, or cooking loss. Weigh it once; don't guess.
- Divide the pack price by the number of portions you actually get.
- Repeat for every item on the plate, including sauces, garnish and oil.
Small items add up. Sauces, cheese and cooking oil are the usual reasons a plate costs more than the owner thinks.
Pick a target you can defend
Food cost targets are a business choice, not a rule. A higher target means a lower price and a thinner margin; a lower target means a higher price that has to make sense next to the truck parked beside you. Check the ladder under the result to see the price at several targets side by side.
Price the whole menu, not just one item
A truck menu works as a set. A low-margin item that sells fast can be worth keeping if it brings people to the window, and a high-margin item nobody orders just takes up space on the board. The standard way to sort this out is menu engineering: compare how often each item sells with how much each one earns.
When you have your prices, carry the blended food cost into the startup cost calculator and your projections, and check your plan against what a business plan needs.