In order to make money in the restaurant business, prime costs should generally be in the 60 percent to 65 percent range. How that breaks down between food and labor is less important than achieving a prime cost maximum that produces a satisfactory profit.
The standard mileage rate is by far the easiest to use. With the standard mileage rate, you take the deduction of a specified number of cents for every business mile you drive. The IRS sets the standard mileage rate each year. The 2017 Mileage Rate is 53.5 cents per mile. To figure out your mileage deduction, simply multiply your business miles by the standard mileage rate for the specific year. Example: Ed, a salesperson, drove his car 20,000 miles for business during 2017.
The IRS provides three standard mileage rates: one for business miles, one for medical or moving reasons, and one for miles driven by volunteers for charitable organizations. The medical and moving rate is based only on the variable costs of operating a car, such as the cost of gas.he price of gas is the main factor when calculating the standard mileage rate. For instance, in 2011, the IRS provided two standard mileage rates: one for the first six months of the year, and one for the second half of the year to reflect a spike in gas prices.