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How to calculate labor cost

User Stevec
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If you want to calculate labor cost you have to Divide labor cost by total operating costs. For example if labor costs $9,000 per month and total operating cost is $15,000 per month, divide $9,000 by $15,000 to get 0.6. Multiply by 100. This final number is your restaurant's labor cost percentage. In this example, it's 60% of the total cost of doing business.

It all depends

User Hank Fay
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