Tool · free

Profit margin calculator

Enter monthly sales, food cost rate, payroll and rent. See gross contribution, net profit and net margin instantly.

Sales and costs

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Net profit = sales - (sales x FC%) - payroll - rent.

Why you need this

Sales can grow while food cost and fixed costs rise with them, leaving profit flat. Putting these four lines together shows whether the month truly made money.

The tool derives food cost from sales, then subtracts payroll and rent as fixed amounts. If utilities or marketing are missing, read the result as optimistic.

How it is calculated

Food amount = sales x food cost rate. Gross contribution = sales - food amount. Net profit = sales - food - payroll - rent. Net margin = net profit / sales.

How to read the result

Positive net profit means the month roughly stands; negative means fixed costs or food cost dominate. Strong gross but weak net points to payroll and rent.

This tool is for information only. Talk to your accountant for a formal P and L.

Frequently Asked Questions

How do gross and net differ?

Gross contribution subtracts only food cost from sales. Net also subtracts payroll and rent.

How do I find food cost rate?

Period ingredient cost / sales. You can also check portion-level food cost with the food cost calculator.

Where are other costs?

They are out of this quick model. Subtract utilities, marketing or loan payments separately.

Can I email myself the result?

Yes. Use Email me the result with your name, email and phone and we will send the summary. Our team may also contact you if helpful.

Track profit with Ritapos reports

Keep sales and cost lines on one panel. Try it free.