Who this is for: busy owners and managers who need plain English and quick wins. Follow the steps in order. If a step says “if X, then do Y,” just do the Y.
Two paths now available: Advanced Route (red accents) uses downloadable .XLSX calculators from The Vault — best for users comfortable with spreadsheets and industry terms. Novice Route (blue accents) uses simple, print-ready PDF templates from our Templates Catalog — step-by-step handwritten forms with zero jargon. Pick your path at each step below and follow the matching colored section.
What you need (2–3 minutes)
- Last full 4 weeks (or last month) of Net Sales (no sales tax, no tips).
- Your labor payroll summary for the same period (wages + employer taxes/benefits).
- Beginning inventory, purchases, and ending inventory for food and beverage.
Step 1 — Find your Prime Cost (3–4 minutes)
Use the tool that matches your chosen route:
Advanced Route
Use the Prime Cost Calculator (Weekly) .XLSX from The Vault.
- Enter Net Sales (exclude sales tax and tips)
- Food & Beverage COGS = Beginning Inv + Purchases − Ending Inv
- Total Labor = wages + employer taxes + employer-paid benefits
Novice Route
Use the Prime Cost Quick Sheet PDF — just fill in the blanks by hand.
- Write down your Net Sales total for the period
- Add up Food + Bev purchases, subtract beginning/ending inventory
- Add up all Labor costs (paychecks + taxes + benefits)
What the result means: your Prime % (Food/Bev COGS + Total Labor as % of sales).
Healthy — keep going.
Okay — tighten a little.
Bleeding — fix Food % and/or Labor % below.
Step 2 — If your Food % is high (4–5 minutes)
Advanced Route
2A. Run the Yield / Trim / Cook Loss Calculator .XLSX.
2B. Rebuild recipes in the Recipe Cost Card (XLSX).
2C. Use the Menu Price Rework .XLSX to set target margin.
Optional: run AvT Food Cost Variance weekly.
Novice Route
2A. Use the Yield Test Form PDF — weigh before/after cooking.
2B. Fill out the Recipe Cost Card Template by hand.
2C. Use the Menu Price Rework PDF to pick your selling price.
Then: Re-run your Prime Cost tool. If Food % is now in range, move on. If not, repeat for more items.
Step 3 — If your Labor % is high (3–4 minutes)
Advanced Route
Use the Labor Hour Budget .XLSX — enter sales by day and role caps.
If high: cut low-yield hours, stack peaks, cross-train, remove floaters.
Novice Route
Use the Labor Scheduling Template PDF — write in sales and staff by shift.
If high: look for overlap, cut slow shifts, combine roles.
Then: Re-run your Prime Cost tool. If Labor % is now in range, you’re back on track.
Step 4 — If Overhead is high (2–3 minutes)
Overhead isn’t part of Prime, but it kills profit fast. Hit these easy wins:
Advanced Route
- POS fees — Use the POS Fee Checklist .XLSX, then compare on POS Tools Hub.
- Vendors — Use the Vendor Negotiation Tracker .XLSX.
- Subscriptions — audit monthly, cancel unused.
Novice Route
- POS fees — Print the POS Fee Checklist PDF and check off items.
- Vendors — Use the Vendor Negotiation Script PDF — read and call.
- Subscriptions — list them on paper, cross out anything unused.
Step 5 — Lock the habit (1–2 minutes weekly)
Advanced Route
- Re-run Prime Cost Calculator (Weekly).
- Audit 1–2 recipes with Yield / Trim / Cook Loss Calculator.
- Adjust Labor Hour Budget.
- If Food % drifts, check AvT Food Cost Variance.
Novice Route
- Re-run your Prime Cost Quick Sheet.
- Re-weigh 1–2 top sellers using Yield Test Form.
- Update your Labor Scheduling Template.
- Compare actual vs. expected food use on paper.
The simple scoreboard (what “good” looks like)
Target ~60–65% for most casual/QSR concepts.
Usually 20–30%, concept-dependent.
Typically 25–35%, service-model dependent.
House guardrail: the overall 30/30/30/10 budget (Labor/Food/Overhead/Profit). It’s a guide, not a law.