Bar Profitability
Menu Pricing Calculator
Most pricing mistakes come from working forwards — picking a price, then hoping the cost fits. This calculator works backwards: set the pour cost you want to run, and it returns the menu price that gets you there, rounded the way you price your menu.
Add as many drinks as you like to compare cost, current price, pour cost, gross profit, and the recommended price side by side, then read the menu summary to see which item is quietly dragging your margin down. No signup, nothing saved to a server.
Menu pricing calculator
Set the pour cost you want to run and BarCalcs works backwards to the menu price for every drink on the list.
Most cocktail programs target 18–22%.
Used for the monthly gross profit projection.
Menu items
- Recommended $13.95Pour cost 22.1%Gross profit $9.35+$1.95 vs current
- Recommended $17.95Pour cost 24.3%Gross profit $10.60+$3.95 vs current
- Recommended $19.95Pour cost 26.3%Gross profit $11.05+$4.95 vs current
Recommended price
$13.95
House Margarita at 20% target
Gross profit
$11.30
Per drink at the recommended price
Gross margin
81.0%
Current pour cost
22.1%
At your $12.00 price
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How this calculator works
The core formula
Rounding
Current vs. recommended
Volume matters
How to price a cocktail menu, step by step
Start with an honest cost per serving. That means every spirit, modifier, juice, syrup, garnish, and — if you batch — the water added by dilution. Bars that cost only the base spirit typically understate a cocktail by 20–40 cents, which is enough to push a 20% target drink past 24% in reality. Build the number once in the Cocktail Cost Calculator and bring it here.
Next, pick a target. A single target across the whole menu is the simplest policy and the easiest to enforce with staff, but the best programs use bands: a tighter target on high-volume, low-labor drinks (spritzes, highballs, shots) and a looser one on signatures that take three minutes to build and sell the room. Enter the drinks in this calculator, set the target, and let the recommended column tell you which prices are already correct.
Then check the blended number. Individual pour costs matter less than the average and blended figures in the menu summary — that blend is what shows up on your P&L. If your blend sits at 24% against a 20% target, you do not need to raise every price; usually two or three volume items are carrying the damage, and the lowest-margin item flagged in the summary is where to start.
Restaurant menu pricing benchmarks by category
| Category | Typical cost % | Gross margin |
|---|---|---|
| Well & call spirits | 15–20% | 80–85% |
| Craft cocktails | 18–24% | 76–82% |
| Draft beer | 20–25% | 75–80% |
| Bottled & canned beer | 24–30% | 70–76% |
| Wine by the glass | 28–35% | 65–72% |
| Non-alcoholic / mocktails | 10–20% | 80–90% |
Pricing a full drink list, not one drink
Menus work as a portfolio. A few drinks can run high cost percentages if they sell the room — a signature, a spirit-forward classic on premium rye — as long as your volume items sit comfortably at or under target. Blended cost percentage across the menu is what shows up on the P&L.
Price bands also help guests choose. A list where everything is $17 gives no signal; $14 / $16 / $19 tiers let people self-select, and the middle tier usually carries the volume. Put your best-margin drink in that middle tier and describe it well — menu engineering moves mix, and mix moves profit faster than a price increase.
Finally, raise prices in small, quiet steps. A 50-cent move on ten drinks selling 100 times a week is roughly $2,165 of extra gross profit a month and almost nobody notices. One $3 jump on a regular's usual order gets noticed every time.
Related calculators
Cocktail Cost Calculator
Build an accurate cost per serving before you price anything.
Pour Cost Calculator
Check bottle-to-pour economics on wells and call spirits.
Liquor Cost Calculator
Track overall liquor cost percentage across the bar.
Bar Break-Even Calculator
See the sales volume your margins need to cover fixed costs.
Frequently asked questions
- How much should I charge for a cocktail?
- Divide the total cost per serving by your target pour cost expressed as a decimal. A cocktail that costs $2.65 to build at a 20% target prices at $13.25, which most bars round up to $13.50 or $13.95. Adjust upward for labor-intensive builds and downward for high-volume value drinks.
- What is the cocktail pricing formula?
- Menu price = cost per serving ÷ (target pour cost % ÷ 100). The inverse tells you where you stand today: pour cost % = cost per serving ÷ current selling price × 100.
- What target pour cost should I use?
- Cocktail programs commonly target 18–22%, high-volume bars sometimes push to 15–18%, and hotel or resort programs may run 12–16%. Choose a target that fits your labor model and what your market will pay.
- Should I use charm pricing like $13.95?
- It depends on the room. Casual and high-volume venues often use .95 or .50 endings; upscale cocktail bars usually use whole dollars, sometimes with no dollar sign on the menu. Either way, round up rather than down — rounding down gives away margin on every sale.
- Does menu pricing include labor?
- No. Pour cost only covers product. Labor-intensive drinks — clarified, smoked, or multi-step builds — deserve a lower target cost percentage so the extra prep time is paid for.
- What is a good bar profit margin?
- A drink at a 20% pour cost carries an 80% gross margin. After labor, rent, and overhead, healthy bars typically net 10–15% at the bottom line, so protecting gross margin at the menu-pricing stage is where most of the profit is won.
- How often should I reprice a drink menu?
- Recost quarterly and reprice at least once or twice a year, or whenever a key spirit or citrus cost jumps. Small annual adjustments are far easier for regulars to accept than one large correction.
Related bar calculators
- Pour Cost CalculatorTurn bottle cost and pour size into pour cost percentage and profit per pour.Open
- Liquor Cost CalculatorPeriod liquor cost from opening inventory, purchases and closing counts.Open
- Bar Break-Even CalculatorFixed costs, contribution margin and the covers you need to break even.Open
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