Australia Menu Pricing Guide (2026): GST-Safe Pricing for Cafes and Takeaway

Australian operators are rarely short on new menu ideas. What usually hurts margin is the operational gap between rising weekly costs and delayed price updates.

This guide is built for day-to-day service reality: update prices with clean GST math, keep displays compliant, and avoid subsidising delivery with dine-in margin.

Quick takeaways

• Build targets on ex-GST economics, publish GST-inclusive customer prices.
• Reprice top sellers monthly; do not wait for a full seasonal reset.
• Separate dine-in, takeaway, and delivery contribution before approving new prices.
• Roll updates on one date across POS, menu boards, and app channels.

Why this matters in 2026

ABS data for the December quarter 2025 shows:

• All groups CPI annual movement: 3.8%
• Food and non-alcoholic beverages: 3.4%
• Restaurant meals and takeaway foods: 3.5%

In plain terms, hospitality pricing pressure has not disappeared. Fair Work Commission’s 2024-25 Annual Wage Review also lifted minimum wages by 3.5% from 1 July 2025. If your menu is still running on last quarter’s assumptions, margin erosion usually appears first in weekly cash flow, not in the monthly P&L.

GST-safe pricing math

For internal controls, start with ex-GST economics:

Required ex-GST price = Plate cost / Target food cost %
GST-inclusive menu price = Required ex-GST price x 1.10

This keeps margin logic and customer display rules aligned.

Worked example: Melbourne brunch cafe

A best-selling brunch plate in a weekday-heavy inner-suburban cafe now costs A$6.20 to produce. Target food cost is 30%.

Required ex-GST price = 6.20 / 0.30 = A$20.67
GST-inclusive menu price = 20.67 x 1.10 = A$22.74

Operationally, many venues test A$22.50 or A$23.00 and review sell-through after two weeks. The key is to validate contribution by channel, not just volume.

Channel checks that prevent hidden losses

Dine-in

• Watch labor-heavy menu items by daypart.
• Use upsell and add-ons to recover margin without over-resetting hero prices.

Takeaway

• Include packaging and payment costs in item-level checks.
• Confirm menu board, QR menu, and POS are synced on go-live day.

Delivery

• Add platform commission, packaging, and remake risk in one line-item model.
• Consider delivery-specific pricing when contribution drops below target.

30-minute monthly routine (Australia)

1. Export last 30 days for top 15 items by revenue.
2. Update top ingredient and packaging costs.
3. Recompute ex-GST food cost % and contribution per channel.
4. Flag items 3+ points above target.
5. Publish one effective date and update all menus together.
6. Review mix and gross profit dollars at day 7 and day 14.

Communication script customers actually accept

“From [Month Day, Year], selected menu prices will be updated to maintain ingredient quality and consistency.”

Keep it short and factual. Long explanations tend to create more pushback than clarity.

Related guides

• Australia Menu Pricing Calculator
• Australia Menu Price Rounding Guide
• Australia Food Cost Calculator
• Australia Restaurant Labour Cost Calculator
• Australia Delivery App Pricing Guide
• Food Cost Ratio Guide
• Prime Cost Guide

Sources (checked on 2026-02-12)

• ABS - Consumer Price Index, Australia, December 2025
• ATO - How GST works (GST 10%)
• ACCC - Price displays (total price requirements)
• Fair Work Commission - 2024-25 Annual Wage Review decision (announced 3 June 2025; effective 1 July 2025)

KitchenCost lets you run GST-aware pricing and channel margin checks in one place, so monthly updates stay operationally simple.