OPERATOR TOOL
Restaurant catering pricing
Turn food, labor and other direct event costs into a working catering price using your target contribution margin.
Result
Enter event costs and your target margin, then calculate.
Total direct cost
Modeled selling price
Contribution dollars
Price per guest
Formula
Total direct cost = Food & beverage + Direct labor + Other direct event costs
Selling price = Total direct cost ÷ (1 − Target margin %)
Contribution dollars = Selling price − Total direct cost
Worked example
Illustrative only. Food and beverage cost of $1,200, direct labor of $650 and other direct costs of $350 create $2,200 of direct cost. At a 35% target contribution margin, the modeled event price is about $3,384.62. For 100 guests, that is about $33.85 per guest.
How to read the result
This is a pricing model, not a quote generator. Confirm which costs truly vary with the event, then separately handle taxes, service charges, gratuities, deposits, delivery terms and other items according to your business and local requirements.
Common mistakes
- Using markup when the target is actually a margin.
- Leaving event labor, rentals, transport or disposables out of direct cost.
- Pricing from food cost alone.
- Forgetting minimum charges for small events or long setup windows.
Questions operators ask
Is a 35% margin the right target?
Not universally. Use a target that fits your concept, event complexity, risk, overhead and commercial goals.
Should sales tax be included in the calculator?
Usually model the operating selling price first, then apply tax and statutory charges according to your local rules and invoice structure.
How to Price Catering Events for Profit · Catering Production Planning · Catering Production Sheet