Restaurant costs rarely move once a year anymore.
The latest U.S. CPI data shows food-away-from-home prices rising faster than grocery prices, which means waiting too long to adjust menu pricing quietly erodes margin.
This checklist gives you a 30-minute monthly routine to keep pricing aligned with reality.
The Data That Matters (US)
According to the U.S. Bureau of Labor Statistics CPI news release for December 2025 (released January 13, 2026), the 12-month changes were:
- All items CPI: +2.7%
- Food index: +3.1%
- Food at home: +2.4%
- Food away from home: +4.1%
- Full-service meals: +4.9%
- Limited-service meals: +3.3%
Restaurant pricing is still running hotter than groceries, which is why a monthly review beats a once-a-year update.
30-Minute Monthly Menu Price Review
- Pull your last 30 days of ingredient spend and menu sales
- Recalculate food cost % for your top 10 sellers
- Flag items with food cost % 3+ points above target
- Check packaging + delivery fees on your delivery-only items
- Compare supplier invoices vs. last month (top 5 ingredients)
- Review prime cost trend (food + labor)
When a Price Increase Is Justified
Use these thresholds as guardrails:
| Signal | Action |
|---|---|
| Ingredient cost up 3-5% on a core item | Adjust price or portion size |
| Food cost % up 5+ points | Reprice immediately |
| Prime cost consistently 60%+ | Rebalance menu + price |
| Competitors already raised prices | You are late, not early |
Quick Example: Preserve a 30% Food Cost
Before:
- Menu price: $14.00
- Ingredient cost: $4.20 (30%)
After a 10% ingredient increase:
- New cost: $4.62
- Target price for 30% food cost:
$4.62 ÷ 0.30 = $15.40Round to $15.99 or adjust portion size.
Customer-Friendly Script (Short Version)
“To keep quality and portions consistent, we will be updating prices on select items starting [date]. We appreciate your support and are committed to delivering the same value you expect.”
Not in the US?
Related Guides
- Recipe Costing Guide
- Food Cost Ratio Guide
- Prime Cost Guide
- Menu Engineering Guide
- Chicken Restaurant Cost Guide
- Burger Restaurant Cost Guide
- Home Baking Pricing Guide
- Pizza Cost Calculator
- Steakhouse Cost Guide
Want This Done Automatically?
KitchenCost recalculates recipe costs, food cost %, and price targets as your ingredient prices change.
If you want a faster way to protect margin, try KitchenCost.