Most restaurants miscalculate wine package margins by treating alcohol like food. Wine packages require different VAT calculations and cost structures than your typical dish. Here's how to determine your actual profit from that three-glass pairing.
What is the cost price of your wine package?
Start by adding the individual cost of each wine in your package. Don't forget extras like palate cleansers or accompanying cheese portions. Wine carries a higher VAT rate than food items, which affects your final calculations.
💡 Example wine package:
Three glasses with a 4-course menu:
- Glass 1 (Sauvignon Blanc): €3.20
- Glass 2 (Pinot Noir): €4.10
- Glass 3 (Dessert wine): €2.80
Total cost price: €10.10
Calculate VAT correctly for wine
Alcoholic beverages get hit with 21% VAT, not the 9% you're used to for food. This significantly impacts your margin calculations. If you're charging €28.00 for the package, that includes the higher VAT rate.
⚠️ Note:
Always calculate with the price excluding VAT. At 21% VAT: €28.00 / 1.21 = €23.14 excl. VAT
Calculate pour cost percentage
Pour cost works like food cost but for beverages. It shows what percentage of your selling price goes directly to wine purchases.
Formula: Pour cost % = (Wine costs / Selling price excl. VAT) × 100
💡 Calculation:
Wine package for €28.00 incl. VAT:
- Selling price excl. VAT: €28.00 / 1.21 = €23.14
- Wine costs: €10.10
- Pour cost: (€10.10 / €23.14) × 100 = 43.7%
This is on the high side. Standard pour cost ranges between 18-25%.
Calculate margin in euros
Your actual profit becomes clear when you subtract wine costs from your net selling price. This gives you a clearer picture than percentages alone.
- Selling price excl. VAT: €23.14
- Wine costs: €10.10
- Margin per wine package: €23.14 - €10.10 = €13.04
Optimize your wine package
High pour costs kill profitability. You can raise prices, negotiate better purchasing terms, or swap expensive wines for value alternatives. Based on real restaurant P&L data, establishments with pour costs above 35% struggle to maintain healthy beverage margins.
💡 Optimization example:
For 25% pour cost at €10.10 wine costs:
- Minimum price excl. VAT: €10.10 / 0.25 = €40.40
- Menu price: €40.40 × 1.21 = €48.88
- Rounded: €49.00
A food cost calculator like KitchenNmbrs automatically handles pour cost calculations and lets you compare different wine package scenarios without spreadsheet headaches.
How do you calculate the margin on a wine package? (step by step)
Add up all wine costs
Note the cost price of each glass of wine in the package. Add everything together for the total wine costs per package.
Calculate selling price excluding VAT
Divide your menu price by 1.21 to get the price excl. 21% VAT. Use this to calculate further.
Calculate pour cost and margin
Pour cost = (wine costs / price excl. VAT) × 100. Margin in euros = price excl. VAT minus wine costs.
✨ Pro tip
Track your pour costs weekly for tasting menu packages during peak season (October-December). A 2% increase in pour cost on high-volume packages can slash monthly beverage profits by €800-1200.
Calculate this yourself?
In the KitchenNmbrs app you can do this in just a few clicks. 7 days free, no credit card.
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Frequently asked questions
Should I calculate 9% or 21% VAT for wine?
Always 21% VAT for alcoholic beverages. Only non-alcoholic drinks in the restaurant qualify for 9% VAT.
What is a good pour cost for wine packages?
A standard pour cost ranges between 18-25%. Above 30% it becomes difficult to be profitable.
Can I combine different wines in one package?
Yes, just add up all the cost prices. For example, mix a cheaper opening wine with a more expensive main course wine.
How often should I adjust my wine prices?
Check at least quarterly whether your purchasing prices are still accurate. Wine prices can fluctuate due to harvest and exchange rates.
📚 Sources consulted
- EU Verordening 852/2004 — Levensmiddelenhygiëne (2004) — Official source
- EU Verordening 853/2004 — Hygiënevoorschriften voor levensmiddelen van dierlijke oorsprong (2004) — Official source
- EU Verordening 1169/2011 — Voedselinformatie aan consumenten (2011) — Official source
- NVWA — Hygiënecode voor de horeca (2024) — Official source
- NVWA — Allergenen in voedsel (2024) — Official source
- Codex Alimentarius — International Food Standards (2024) — Official source
- FSA — Safer food, better business (HACCP) (2024) — Official source
- BVL — Lebensmittelhygiene (HACCP) (2024) — Official source
- Warenwetbesluit Bereiding en behandeling van levensmiddelen (2024) — Official source
- WHO — Foodborne diseases estimates (2024) — Official source
Food Standards Agency (FSA) — https://www.food.gov.uk
The HACCP standards shown in this application are for informational purposes only. KitchenNmbrs does not guarantee that displayed values are current or complete. Always consult the FSA or your local authority for the latest regulations.
Written by
Jeffrey Smit
Founder & CEO of KitchenNmbrs
Jeffrey Smit built KitchenNmbrs from 8 years of hands-on experience as kitchen manager at 1NUL8 Group in Rotterdam. His mission: give every restaurant owner control over food cost.
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