Free calculator
Catering calculator: work out your quote price
Calculate a catering job’s total cost, its cost per guest and a quote price that reaches your target margin.
Cost a catering job
Inputs
Expected number of people.
Net, for everything served per person.
For example staff × hours × hourly rate.
Transport, hired crockery, furniture, disposables.
Share of the quote price left after costs – not a markup on cost.
Starts at 7 %. Enter the rate that applies to what you sell.
Result
To see a result, fill in: Food cost per guest, Guests, and Target margin.
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In short
To price a catering job, add the food cost (guests × cost per guest), the staff cost and every other cost of the job. The net quote price is that total divided by (1 − target margin). The margin is a share of the price, not a markup on the cost.
How a catering job is costed
Margin and markup are not the same. The calculator works with margin – the share of the quote price left after the job’s costs – and shows the matching markup next to it.
Total cost = guests × food cost per guest + staff cost + other costsCost per guest = total cost ÷ guestsQuote price (net) = total cost ÷ (1 − target margin ÷ 100)Margin in euros = quote price (net) − total costMarkup % = margin in euros ÷ total cost × 100Quote price (gross) = quote price (net) × (1 + VAT rate ÷ 100)
Terms
- Margin
- Profit as a share of the price. A 25 % margin means 25 cents of every euro quoted are left after the job’s costs.
- Markup
- Profit as a share of the cost. A 25 % margin needs a 33.3 % markup.
- Staff cost
- Every hour the job takes, times the hourly rate including employer contributions – preparation, set-up, tear-down and travel included.
- Other costs
- Whatever else the job costs: transport, hired crockery, furniture, disposables, decoration.
Worked example: a company party for 80 guests
A company party for 80 guests. Food cost is €18.50 per guest, staff cost €960.00 (for example 4 people × 8 hours × €30), and other costs for transport and hired crockery €350.00. The target margin is 25%, the VAT rate 7%.
| Guests | 80 |
|---|---|
| Food cost per guest | €18.50 |
| Total staff cost | €960.00 |
| Total other costs | €350.00 |
| Target margin | 25% |
| VAT rate | 7% |
Step by step
- Food cost: 80 × €18.50 = €1,480.00
- Total cost: €1,480.00 + €960.00 + €350.00 = €2,790.00, or €34.88 per guest
- Quote price, net: €2,790.00 ÷ (1 − 0.25) = €3,720.00, or €46.50 per guest
- Margin: €3,720.00 − €2,790.00 = €930.00 – 25.0% of the price and a 33.3% markup on the cost
- Quote price, gross: €3,720.00 × 1.07 = €3,980.40, or €49.76 per guest
A quote of €3,720.00 net leaves €930.00 after the job’s costs. Your business’s overheads and profit are paid out of that.
All values are illustrations, not benchmarks.
What the result means
The margin in this calculator relates to the costs of this one job. Rent, administration, vehicles and other overheads are not included unless you add a share of them under other costs.
The price per guest makes quotes comparable. It also shows how much a job’s staff and fixed costs weigh on each guest when there are few of them.
If you quote drinks, service staff or equipment separately, cost those lines separately. Different VAT rates can apply to food and drinks.
Frequently asked questions
What is the difference between margin and markup?
Margin is profit relative to the price; markup is profit relative to the cost. Adding 25 % to the cost gives only a 20 % margin. For a 25 % margin, divide the cost by 0.75 – a 33.3 % markup.
Which staff costs belong in the calculation?
Every hour the job takes – preparation in the kitchen, transport, set-up, service and tear-down – each at the hourly rate including employer contributions.
Why does the price per guest fall with more guests?
Because staff and other costs do not grow as fast as the guest count and are spread over more guests. Food cost per guest stays the same.
Is the quote price net or gross?
The calculator shows both. Which VAT rate applies to your catering depends on the service; the calculator starts at 7 %. If in doubt, check the rate with your tax adviser.
Read on and keep calculating
The calculators help with costing; they are not tax or financial advice. Check tax rates and results for your business.