The Christmas season can bring new opportunities for Seattle restaurants.
Holiday gatherings, family dinners, corporate events, catering orders, and year-end celebrations give restaurant owners different ways to attract customers and increase revenue.
But a busy December doesn’t automatically mean a more profitable business.
And with Seattle’s minimum wage increasing to $22.14 per hour starting January 1, 2027, restaurant owners have another reason to look beyond holiday sales and prepare for the year ahead.
The real opportunity isn’t simply getting through the holiday rush.
It’s finding ways to make the most of the season, strengthen profitability, and build a restaurant that can grow sustainably in 2027.
Christmas 2026 Brings Opportunities, but Restaurant Profitability Remains a Challenge
The National Restaurant Association’s 2026 State of the Restaurant Industry report projects $1.55 trillion in U.S. restaurant and foodservice sales in 2026, representing an expected 1.3% increase in inflation-adjusted sales.
That’s a national industry forecast, not a prediction of Christmas sales in Seattle.
The report also highlights continuing challenges involving operating expenses, customer traffic, and profitability.
In a separate July 2026 analysis, the association estimated that total expenses for an average restaurant increased approximately 36% between 2019 and 2026.
Food, labor, occupancy, utilities, supplies, and other operating expenses all contribute to financial pressure.
Source: National Restaurant Association, July 8, 2026
For restaurant owners, these figures highlight why increasing revenue isn’t enough.
A restaurant can attract more customers, generate higher sales, and still experience pressure on its profit margins.
The Christmas season offers an opportunity to strengthen business performance, but the financial results depend on how effectively that additional activity is managed.
Five Ways Seattle Restaurants Can Make the Most of Christmas 2026
1. Focus on Holiday Offers That Bring Profitable Revenue
Holiday menus, family meal packages, Christmas catering, and private dining events can create new revenue opportunities.
But before introducing seasonal offers, consider their actual costs.
A popular promotion might generate additional orders while requiring more ingredients, preparation time, employees, or packaging.
Restaurant owners should review the expected contribution of each offering after accounting for its relevant costs.
For example, a holiday catering package may generate more revenue per order, but its profitability depends on food, labor, delivery, and other expenses.
A practical approach is to review:
- Ingredient costs and menu pricing
- Preparation and staffing requirements
- Expected order volume
- Packaging and delivery expenses
- Profitability of different menu items and packages
The goal isn’t simply to sell more.
It’s to identify which holiday opportunities make financial sense for the business.
2. Make the Most of Christmas Gift Cards and Returning Customers
Gift cards are another option restaurant owners can consider during the holidays.
According to a December 2024 National Restaurant Association survey, 59% of surveyed U.S. adults planned to give restaurant gift cards during that year’s holiday season.
That figure reflects a national 2024 survey and should not be interpreted as a forecast of consumer spending in Christmas 2026.
However, it provides useful historical context for restaurants considering gift cards as part of their holiday promotions.
Gift cards can help introduce restaurants to new customers and encourage future visits.
Restaurant owners can also consider:
- Promoting gift cards through existing customer channels
- Offering catering and private-event booking information
- Encouraging customers to return after the holidays
- Maintaining relationships with corporate and group-dining customers
It’s important to evaluate the cost of promotions and properly account for gift card transactions.
The bigger opportunity is to use the Christmas season to build customer relationships that continue into 2027.
3. Plan Holiday Staffing Without Losing Sight of Labor Costs
Holiday staffing is another important consideration.
Depending on customer demand, some restaurants may need additional employees, adjusted schedules, or extended operating hours.
However, increasing labor hours doesn’t automatically improve profitability.
Before making staffing decisions, review reservations, confirmed catering orders, historical sales patterns, and expected service requirements.
Washington’s Department of Labor & Industries explains that state law does not generally require premium pay simply because an employee works on a holiday.
Overtime requirements still apply when eligible employees work more than 40 hours in a workweek, and employment agreements or applicable local rules may impose additional obligations.
Source: Washington L&I, Holiday and Vacation Leave
Larger restaurant operators should also review Seattle’s Secure Scheduling Ordinance if their businesses meet its coverage requirements.
Source: Seattle Office of Labor Standards, Secure Scheduling
Rather than simply adding more shifts, develop a staffing plan based on expected demand and service needs.
This can help support both the customer experience and your restaurant’s financial performance.
4. Review Which Holiday Activities Actually Make Money
The end of the Christmas season is an opportunity to understand what worked.
Instead of focusing only on total December revenue, compare the financial performance of different activities.
Which holiday menu items generated the strongest margins?
Were catering orders profitable after accounting for additional costs?
Did extended operating hours bring in enough revenue to justify the staffing expenses?
Were inventory purchases aligned with demand?
These questions help turn holiday activity into useful financial information.
By identifying which offers and operating decisions performed well, restaurant owners can make better choices about what to continue, improve, or discontinue in 2027.
5. Use the Holiday Season to Prepare for Your Next Stage of Growth
For some restaurant owners, the next step may be expanding catering services.
Others may be considering another location, additional employees, new equipment, or improvements to existing operations.
Before making those commitments, review whether the business is financially prepared.
Consider expected revenue, operating expenses, investment requirements, and the time needed to generate returns.
The Christmas season can provide useful information about customer preferences, operating capacity, and profitability.
But one strong month shouldn’t automatically become the basis for a major expansion decision.
Compare seasonal results with the restaurant’s performance throughout the year.
The objective is to use reliable financial information to make decisions that support long-term growth.
Seattle’s $22.14 Minimum Wage in 2027: What Restaurant Owners Should Prepare For
Starting January 1, 2027, Seattle’s minimum wage increases from $21.30 to $22.14 per hour for covered employees working within city limits.
The increase was announced by the Seattle Office of Labor Standards on September 28, 2026.
Source: Seattle Office of Labor Standards, 2027 Minimum Wage Announcement
The new rate represents an increase of $0.84 per hour, or approximately 3.94%.
To illustrate how this can affect payroll planning:
| Item | Amount |
|---|---|
| Seattle minimum wage in 2026 | $21.30/hour |
| Seattle minimum wage in 2027 | $22.14/hour |
| Increase per hour | $0.84 |
| Percentage increase | 3.94% |
| Additional annual base wages for 40 hours/week over 52 weeks | $1,747.20 |
This example assumes an employee is paid the applicable minimum wage for all 2,080 hours. It excludes employer payroll taxes, benefits, overtime, and other employment expenses.
The actual financial impact depends on each restaurant’s staffing structure and existing wage rates.
Review Your 2027 Staffing Budget
Before January, restaurant owners should review payroll assumptions and identify which employees will be affected by the new minimum wage.
Include any applicable changes to related employment costs when updating the budget.
Reevaluate Pricing and Profit Margins
Higher labor costs can affect restaurant profitability.
However, automatically increasing every menu price isn’t necessarily the right approach.
Review pricing alongside ingredient costs, customer demand, operating efficiency, and menu profitability.
The objective is to make informed decisions rather than react to a single expense.
Make Financial Planning Part of Your Growth Strategy
A restaurant’s financial plan should account for more than annual wage increases.
It should also reflect anticipated revenue, food costs, occupancy expenses, financing commitments, and planned investments.
By reviewing these factors together, owners can better understand how much financial capacity they have for growth.
From Christmas 2026 to a Stronger Restaurant Business in 2027
The National Restaurant Association’s 2026 industry outlook emphasizes the importance of operational efficiency, technology, workforce development, and delivering value to customers.
Source: National Restaurant Association, 2026 State of the Restaurant Industry
For restaurant owners, these priorities provide a useful starting point for planning the new year.
But sustainable growth requires more than responding to industry trends.
It begins with understanding what your specific business needs.
Build a Budget Around Your Business Goals
A useful budget should support decisions, not simply record expected expenses.
Before entering 2027, consider what you want to achieve.
Are you preparing to expand?
Do you want to improve margins?
Would you like to strengthen your management team or spend less time personally handling daily operations?
Each goal may require a different financial strategy.
Review the resources needed, anticipated returns, and how those decisions affect the business’s overall financial position.
Understand Where Your Restaurant Performs Best
Take time to review the financial results of 2026.
Look at revenue trends, labor costs, food costs, operating expenses, and profit margins.
Identify which activities contributed positively to the business and where improvements may be possible.
Clear financial reporting makes it easier to prioritize decisions that can improve the restaurant’s performance.
Create More Time to Focus on Growing the Business
Restaurant owners already manage numerous responsibilities.
Between employees, customers, suppliers, and daily operations, financial administration can take attention away from growth planning.
Having organized accounting, reliable reporting, and professional guidance can help make that work more manageable.
Instead of spending time trying to understand what happened financially, owners can focus on deciding what to do next.
That might mean improving customer experiences, developing employees, pursuing new business opportunities, or simply creating more flexibility in their schedules.
Make 2027 About More Than Another Busy Year
Christmas can be one of the most important planning periods for restaurant owners, regardless of whether their individual business experiences a seasonal increase in demand.
It’s an opportunity to review customer relationships, evaluate financial performance, and prepare for the decisions ahead.
But the goal shouldn’t be to enter 2027 with a longer to-do list.
It should be to enter the new year with a better understanding of where the restaurant stands and what opportunities make sense.
At Count On That®, we believe accounting should do more than keep your financial records organized.
Through DreamWalk®, we help business owners connect financial information with their larger goals.
Whether you’re preparing for expansion, improving profitability, or building a restaurant that gives you more freedom, the right financial strategy can help you move forward with confidence.
Make the most of Christmas 2026, and start building the restaurant you want for 2027 and beyond.
Schedule a Free Discovery Call
Frequently Asked Questions
How Can Seattle Restaurants Make More Profit During Christmas 2026?
Restaurant owners can review the profitability of holiday menus, catering arrangements, promotions, and staffing decisions.
The goal is to understand which offerings generate worthwhile returns rather than focusing only on increasing sales.
What Is Seattle’s Minimum Wage Starting January 1, 2027?
Seattle’s minimum wage increases to $22.14 per hour, up from $21.30 in 2026, for covered employees working within the city limits.
Source: Seattle Office of Labor Standards
Are Washington Restaurants Required to Pay Employees Extra for Working on Christmas?
Washington state law does not generally require premium pay solely for working on a holiday.
However, overtime obligations, applicable local laws, employment agreements, and collective bargaining agreements may affect compensation.
Source: Washington Department of Labor & Industries
How Can Restaurants Turn Christmas Customers Into Repeat Business?
Restaurants can explore gift cards, loyalty programs, customer communications, and follow-up opportunities with catering or private-event customers.
The effectiveness of these activities should be evaluated using the restaurant’s own customer and financial information.
What Should Restaurant Owners Prioritize Before 2027?
Key considerations include reviewing 2026 profitability, updating payroll budgets for applicable wage changes, evaluating menu pricing, assessing operating capacity, and identifying investments that support long-term business goals.
Sources & References
- National Restaurant Association: 2026 State of the Restaurant Industry
- National Restaurant Association: Elevated Costs Continue to Pressure Restaurant Profitability, July 8, 2026
- National Restaurant Association: Holiday Gift Card Survey, December 4, 2024
- Seattle Office of Labor Standards: 2027 Minimum Wage Announcement, September 28, 2026
- Washington Department of Labor & Industries: Holiday and Vacation Leave
- Seattle Office of Labor Standards: Secure Scheduling Ordinance
