How to calculate labor cost 👇🏼 Labor Cost per Dish = (Minutes to Make the Dish / 60) x Hourly Wage Here’s an example: 🥗 A basic salad takes ~15 minutes from prep to assembly. 👩‍🍳 Your cook earns $15/hour. That means you’re paying $3.75 in labor before food cost is even added. This is why judging dishes by food cost alone is a trap. A “cheap” menu item with heavy prep can actually be one of your least profitable. Smart operators track prime cost: Prime Cost = Food Cost Labor Cost If you want