🍽️ Free Restaurant Tool

How much can you raise
menu prices safely?

Menu costs are up 25–30% since COVID. Most operators have absorbed losses for 18 months rather than raise prices — fearing they'll lose guests. This calculator shows exactly how many customers you can lose and still come out ahead. Know your number before you print new menus.

25–30%

food cost rise since COVID

<60%

NRA healthy prime cost target

2 min

to model your price increase

Average spend per customer, including drinks

$28
$8US avg: $18–$32$120

Total customers served per month across all shifts

1,800 covers
100 coverse.g. 60/day × 30 = 1,80010,000 covers

Cost of goods sold as % of revenue

32%
15%NRA 2025: 28–32%50%

All labor (FOH + BOH) as % of revenue

33%
15%NRA 2025: 30–35%55%
Prime Cost (Food + Labor): 65%
Target: <60%

% you're considering raising menu prices across the board

8%
1%Common: 5–15%30%
Current monthly revenue: $50,400
$28 × 1,800

Why Operators Are Scared to Raise Prices

The fear is real: raise prices 10%, lose 15% of guests, revenue drops. But the math usually runs the other way. At a 10% increase, you need to lose fewer than 9% of guests to come out ahead — and NRA data shows price-sensitive guests were already your lowest-margin traffic anyway.

The Food Cost Ratio Secret

Here's what most operators miss: when you raise menu prices, your food cost dollars don't change — your COGS is fixed by what you pay suppliers. But your revenue goes up. So your food cost percentage drops automatically. A restaurant running 32% food cost at +10% menu pricing drops to ~29% without changing a single purchase order.

28–32%
Healthy food cost range
NRA 2025 benchmark for full-service restaurants
<60%
Prime cost target
Food + labor combined. Above 65% = margin crisis
5–15%
Sweet spot increase range
Enough to matter, unlikely to cause guest rebellion

Ready to build a real pricing strategy for your restaurant?

This calculator models a single price increase. An operational audit maps your full margin structure — which menu items are dragging your food cost up, where labor scheduling creates waste, and how to reprice strategically rather than across-the-board.

Book a Free Operational Audit

Benchmarks sourced from NRA 2025 State of the Restaurant Industry report. Food cost improvement assumes COGS dollars remain constant after menu price increase. Results are estimates — your actual results depend on guest price sensitivity and product mix.
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