Rare cheese varieties can make your dish unique, but they often cost much more than regular cheeses. It's crucial to calculate the exact margin, so you know if your dish remains profitable. In this article, you'll learn step-by-step how to calculate the cost price and margin with expensive ingredients like special cheeses.
Why rare cheeses affect your margin
A regular cheese might cost €15 per kilo, but a rare cheese like 24-month Parmigiano Reggiano or a French truffle cheese can cost €40-80 per kilo. If you don't calculate the cost price correctly, a single dish can eat up your entire profit margin.
⚠️ Heads up:
Many chefs estimate the amount of cheese. With expensive cheeses, a difference of 10 grams can mean €1-2 per plate.
Calculate the exact cheese costs per portion
The basics are simple: weigh exactly how much cheese you use and calculate what it costs. But with rare cheeses, you also need to account for cutting loss and packaging costs.
💡 Example:
Risotto with truffle cheese:
- Truffle cheese: €60/kg
- Portion: 25 grams per plate
- Cutting loss: 5% (rind, crumbling)
- Actual usage: 25g / 0.95 = 26.3 grams
Cheese cost per portion: €60 × 0.0263 = €1.58
Add up all ingredients
Besides the cheese, you obviously have more ingredients. Account for everything: rice, broth, wine, onion, butter, olive oil, herbs. With expensive main ingredients, the supporting ingredients are usually a smaller percentage.
- Main ingredient: The rare cheese (often 40-60% of total ingredient costs)
- Base ingredients: Rice, vegetables, broth
- Flavor makers: Herbs, olive oil, wine
- Garnish: Don't forget small amounts of parsley or pepper either
💡 Example: Complete cost price risotto
Ingredients per portion:
- Truffle cheese: €1.58
- Arborio rice (80g): €0.32
- Vegetable broth: €0.18
- White wine: €0.25
- Onion, garlic: €0.12
- Butter, olive oil: €0.15
- Herbs, pepper: €0.05
Total cost price: €2.65 per portion
Calculate your margin percentage
Now that you know the cost price, you can calculate what you need to charge at minimum to be profitable. The formula is: Minimum selling price = Cost price / (Desired food cost % / 100)
💡 Example: From cost price to selling price
Risotto cost price: €2.65
Desired food cost: 30%
- Minimum price excl. VAT: €2.65 / 0.30 = €8.83
- Price incl. 9% VAT: €8.83 × 1.09 = €9.62
- Rounded on menu: €9.95
Actual food cost: €2.65 / €9.13 = 29.0%
Check if the price is market-appropriate
A risotto at €9.95 is acceptable, but if you end up at €18.00 because of an extremely expensive cheese, you need to ask yourself if guests will pay that. Sometimes it's better to choose a slightly less rare variant.
⚠️ Heads up:
With very expensive ingredients, your food cost can rise to 40-45%. That's acceptable if the dish is a specialty and guests are willing to pay extra for it.
Alternatives if cost price is too high
If the cost price is too high, you have several options:
- Smaller cheese portion: 20 grams instead of 25 grams saves €0.30 already
- Mix with cheaper cheese: 15 grams truffle cheese + 10 grams Parmesan
- Seasonal dish: Only offer as a special, not standard on the menu
- Higher selling price: Position as a premium dish
Keep an eye on supplier prices
Rare cheeses fluctuate more in price than regular products. Check monthly whether your cost price still holds up, especially with seasonal cheeses or imports from specific regions.
How do you calculate the margin on a dish with rare cheese?
Weigh the exact amount of cheese per portion
Use a kitchen scale and weigh exactly how many grams of rare cheese you use. Also account for 5-10% cutting loss for rind and crumbling.
Calculate the cheese costs per portion
Multiply the weight (including cutting loss) by the kilo price. For example: 26 grams × €60/kg = €1.56 per portion.
Add up all other ingredients
Also account for rice, vegetables, herbs, olive oil and garnish. With expensive main ingredients, these are usually smaller amounts, but they add up.
Calculate the minimum selling price
Divide the total cost price by your desired food cost percentage. At €2.65 cost price and 30% food cost: €2.65 / 0.30 = €8.83 excl. VAT.
Check if the price is market-appropriate
Compare with similar dishes in your area. If the price gets too high, consider a smaller portion or mix with cheaper cheese.
✨ Pro tip
Buy rare cheeses in smaller quantities more often instead of large stocks. This prevents waste and ensures you always have fresh quality.
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
What food cost percentage is normal with expensive ingredients?
With very expensive ingredients like truffle or rare cheeses, your food cost can rise to 35-40%. Guests pay extra for the exclusivity.
Should I account for cutting loss with cheese?
Yes, account for 5-10% cutting loss for rind, crumbling and packaging loss. This is less with hard cheeses, more with soft cheeses.
How often should I check the cost price?
With rare cheeses, check the purchase prices monthly. These fluctuate more than regular products due to seasons and imports.
Can I replace the cheese with a cheaper variant?
Yes, you can mix: for example 15 grams expensive truffle cheese with 10 grams regular Parmesan. This keeps the flavor but lowers the costs.
What if the cost price is too high?
Consider a smaller portion, mix with cheaper cheese, or position it as a premium dish with a higher selling price.
📚 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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