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Applying Labor Costs to Recipes

Kevin U
  • Updated

About Recipe Labor Costs

You have the option to applying labor costs to recipes. If so, the cost for one recipe serving (i.e., estimated serving size) includes both the food cost and the labor cost, and will be shown at the top left of an open recipe (first screenshot below) or the Labor Cost column on the Recipes Listing screen (second screenshot below). 

By including recipe labor costs, you are better able to assess the budget when building a menu (see Menu Costs and Budgeting for more information). 

cost_breakdown.png

labor_cost.png

How is the Recipe Labor Cost Calculated?

The recipe labour cost is calculated as follows:

Total estimated preparation time (in hours) * labor rate (i.e., hourly rate) / recipe yield

For example: 51 min * $22.0 / hour for 48 serving(s) = $0.39.

By clicking the Cost link of the recipe (first screenshot below), the ingredient breakdown window opens, which displays the Labor cost per serving calculation at the bottom (second screenshot below). 

click_to_open.png

labor_cost_from_ingredient_breakdown.png

Applying Labor Costs to Recipes

To apply labor costs to recipes, complete the following steps:

  1. Select Tools & Setup > Recipe Tools. 
  2. Select the Labour Cost Calculation tab. 

    calculate_recipe_labor_cost.png
     
  3. Select the Calculate recipe labor cost check box.
  4. In the Labor hourly rate field, enter the hourly rate if needed.  
  5. Click Save to apply your changes. 

Setting the Labor Rate (i.e., Hourly Rate)

The labor rate (I.e., hourly rate) is initially set by your parent account, and if need can be adjusted by your account to match regional labor rates. To set the labor rate for your account, complete the following steps:

  1. Select Tools & Setup > Recipe Tools. 
  2. Select the Labour Cost Calculation tab. 

    labor_cost_calculation.png
     
  3. In the Labor hourly rate field, enter the hourly rate.
  4. Ensure the Calculate recipe labor cost check box is selected to allow for the recipe labor cost to be applied to recipes. 
  5. Click Save to apply your changes. 

Note: Once you change the initial labor rate that was defined by your parent account, it cannot be reverted back. 

Viewing Labor Cost on the Recipe Listing Screen

To view labor costs for recipes on the Recipe listing screen, add the Labor Cost column (see, Setting Preferred Columns on the Recipes Listing Screen). 

labor_cost.png

FAQs

Can I see the full labor cost of my menu?

At this time, no, but this may be supported in a future release of the software.