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Restaurant labor cost percentage calculator

Enter labor dollars and sales for a day, week, or month. See your labor cost percentage and how many dollars you are over or under target. Free, no signup, runs in your browser.

How labor cost % works

Labor cost percentage is total labor cost ÷ net sales × 100. Count hourly wages, salaried managers, payroll taxes, and benefits for the same period as the sales. Many restaurants land around 25–35%, and food cost plus labor (prime cost) is often kept near 60–65% of sales.

Check labor by shift, not only by week. A slow Tuesday dinner with a full crew hides inside a great weekly number. Compare scheduled hours to forecast sales before the schedule is posted, and compare actual punches after.

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FAQ

What is a good labor cost percentage for a restaurant?

Many restaurants run roughly 25–35% of sales. Full service usually runs higher than quick service. Keep prime cost (food plus labor) near 60–65%.

Should I include manager salaries?

Yes, for true labor cost. Some owners track hourly labor % separately so they can manage shifts day to day.

Can AI help lower labor cost?

Yes. An AI assistant can compare your schedule to forecast sales and flag shifts over your target labor % before you post the schedule. A manager still makes the final call.

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