Limited-Service Restaurants — Average Employee Salary
The average employee in the limited-service restaurants industry earns $22,553 per year ($10.84/hour), according to Bureau of Labor Statistics QCEW data.
What Do Limited-Service Restaurants Workers Earn?
At $22,553/year (equivalent to $10.84/hour for a full-time worker), limited-service restaurants wages are below the national average of ~$65,000.
Lower wages in this industry are common in service-oriented or retail-adjacent sectors where entry barriers are lower. This can be an advantage for business owners managing payroll costs, but may contribute to higher turnover.
The typical limited-service restaurants business employs 17 people. These are mid-sized operations where payroll is a significant but manageable expense.
Wages as a Percentage of Revenue
For the average limited-service restaurants business generating $1.6M/year with 17 employees at $22,553 each, total payroll represents roughly 23.9% of revenue. Labor costs are relatively low compared to revenue — other costs (materials, equipment, overhead) dominate.
What This Means for Business Owners
If you're starting or running a limited-service restaurantsbusiness, here's what the wage data means for your bottom line:
- Per-employee cost: Budget approximately $29,319/year per employee (salary + ~30% for benefits, taxes, and insurance).
- Typical team size: 17 employees = ~$383,401/year in base payroll.
- Hourly equivalent: $10.84/hour base — factor this into pricing and project estimates.
- Revenue needed: With average revenue of $1.6M/business, you need strong utilization rates to maintain healthy margins after payroll.
See how these wages compare to total revenue and profit margins.
View full Limited-Service Restaurants revenue benchmarks →Frequently Asked Questions
- How much do limited-service restaurants employees make?
- The average limited-service restaurants employee earns $22,553 per year, which is equivalent to $10.84/hour for a full-time worker (2,080 hours/year). This is below the national average of approximately $65,000.
- How many people work in the limited-service restaurants industry?
- The limited-service restaurants industry employs 4,606,116 workers across 263,503 establishments in the United States. The average business in this industry has approximately 17 employees.
Source: Bureau of Labor Statistics, Quarterly Census of Employment and Wages (QCEW 2023).