How the calculation works
Batch cost = ingredients + packaging + direct labour + other batch costs + allocated overhead. Full cost per unit = batch cost ÷ saleable units. Price at target full-cost margin = full cost per unit ÷ (1 − target margin).
Use saleable yield, not theoretical output. If 50 portions are planned but only 46 can actually be sold, enter 46. This prevents loss, rejects or trimming from disappearing from the unit economics.
Do not treat the calculated price as proof that customers will pay it. Test market acceptance and add taxes or channel costs that are not already included in your inputs.
Read the costing and pricing guide →
What this food cost calculator helps you calculate
A useful food product cost is more than ingredient cost. This calculator combines ingredients, packaging, direct labour, other batch costs and optional allocated overhead, then divides the total by the number of saleable units. That gives you a fuller cost per unit before you test a selling price.
How to price a food product from full cost
Enter your real batch cost and saleable yield first. Then choose a target full-cost margin. The tool estimates the selling price required for that margin. This can be used for bakery products, catering portions, meal-prep packs, home food businesses, packaged foods and other products made in batches.
After finding a workable price, use the food business break-even calculator to estimate how many units you may need to sell.
Need the complete operating system?
Start & Grow a Profitable Food Business connects costing, pricing, cash, inventory, waste, demand validation and growth into one practical playbook.
See the book on AmazonEducational planning tool. Results are estimates based entirely on the numbers you enter.