Restaurant Inventory

Restaurant FIFO: How to Rotate Stock and Organize Storage So Nothing Expires

A practical FIFO system for restaurant kitchens: how to date and label product, shelve new behind old, set up the walk in, freezer, and dry storage, and order so older product gets used first.

Proteus Kitchen22 min read
Shelving stocked with rows of food storage containers

FIFO means first in, first out: the product that came in first gets used first. In practice it comes down to three habits. Put a date on everything when it arrives or gets opened. Put new product behind or under the old product of the same item. And give every item one home, so the oldest one is always in the same spot, at the front, where the next cook reaches.

That sounds like a food safety rule, and it is one. It's also an ordering rule. A quart of cream that expires Friday doesn't cover Sunday, so a kitchen that counts it as on hand for the weekend is ordering short without knowing it. This guide covers the labels, the shelf layout, the storage order inspectors look for, and how rotation feeds your counts, pars, and orders. Rotation sits between receiving and the next count in the purchasing loop; our complete guide to restaurant purchasing and inventory management shows how all the steps connect.

In this guide

What FIFO means in a restaurant kitchen

FIFO is the default: the case that arrived Tuesday gets opened before the case that arrived Friday. Most of the time, arrival order and date order are the same thing.

Sometimes they aren't. A vendor can send a newer case with an earlier use by date than the one already on your shelf, or a backup case can come from a different supplier with a shorter code. When the dates disagree with the arrival order, go by the date. Some kitchens call this FEFO, first expired, first out. You don't need a second acronym on the wall. Just teach "oldest date in front," and check the date when a new case goes on the shelf, not only when the old one runs out.

FIFO matters for three reasons:

  • Waste. Product that sits in the back past its date gets thrown out, and that money is gone. Our guide to restaurant inventory shrinkage shows how unlogged spoilage turns into a gap between counts that nobody can explain.
  • Food safety. Prepped and opened food has a limited life in the cooler, and health inspectors check dates and storage order.
  • Ordering. If old product is hiding behind new product, your count overstates what you can actually use, and your orders drift.

Dating and labeling product

Nobody can rotate what they can't read. Put a date on everything the moment it changes hands.

Cases and packs from a delivery

Write the received date on every case, bag, and tub as it's put away. A marker and a roll of masking tape are enough. Many cases already have a pack date or a use by date printed on them, but those codes are often small, on the wrong side, or in a format nobody on your team reads. A big handwritten date on the front is faster to check.

For products with a manufacturer's use by or best by date, circle it or copy it onto the label. If the printed date comes before what your own rules would allow, go with the printed date.

Opened and prepped food

Prepped food and anything you open in house needs a fuller label. A good kitchen label has:

FieldExampleWhy
ItemCaesar dressingNobody should have to open the container to know what's in it
Date made or openedMon 11/2Starts the clock
Use by or discard dateSun 11/8Saves everyone from counting days in their head
InitialsJRWhoever made it can answer questions about it

Color coded day dots are popular because a cook can see from across the walk in which day a container belongs to. They work well alongside written dates. On their own, a dot only tells you the day of the week, and two Mondays look the same.

What the Food Code says about date marking

Most state and local food codes in the U.S. are based on some edition of the FDA Food Code, and the date marking rule is one of the parts operators run into every day. In plain terms:

  • What it covers. Ready to eat food that needs time and temperature control for safety (for example cooked rice, sliced deli meat, cut melon, many dressings and cooked sauces), prepared in your kitchen or opened from a commercial package, and held in the cooler for more than 24 hours has to be marked with a date (CDC, Date Marking and Restaurant Practices).
  • How long. Held at 41°F (5°C) or below, it can be kept for no more than 7 days, and the label has to show when to eat, sell, or discard it (CDC).
  • How to count the days. The day the food is prepared counts as Day 1. For a commercially processed food, the day you open the original container in your kitchen counts as Day 1 (Oregon Health Authority date marking fact sheet; Central District Health, Idaho). So a batch of dressing made on Monday is used or discarded by the end of Sunday.
  • Exceptions. State codes list foods that don't need a date mark. Wisconsin's guidance, for example, lists food held less than 24 hours, hard and semisoft cheeses, and cultured dairy products such as yogurt and sour cream, among others (Wisconsin DATCP date marking fact sheet).

Seven days is the maximum, not a target. Plenty of prepped items lose quality long before then, and your chef can set a shorter shelf life for any of them.

States adopt new editions of the Food Code on their own schedules, and the FDA released a 2026 edition this fall. Check your own state or county code for the exact rules where you operate.

Shelf order in the walk in: what goes above what

Rotation decides which case gets used first. Storage order decides which shelf each item lives on, and it's about keeping raw juices from dripping onto food that won't be cooked.

The Food Code requires raw animal foods to be kept separate from ready to eat food, and different raw animal foods to be kept separate from each other. When they share a rack, health departments commonly teach this order from top to bottom, based on the minimum cooking temperature of each food. This is the order in the Hawaii Department of Health refrigerator storage chart:

ShelfWhat goes hereMinimum cooking temperature
TopCooked and ready to eat food, such as prepped sauces and cooked itemsNot cooked again
NextWhole seafood, whole cuts of beef and pork145°F
NextGround meats and ground fish155°F
BottomPoultry, whole or ground, and stuffed foods165°F

The logic is simple. Anything that drips onto the shelf below will be cooked to an equal or higher temperature than the food above it. Poultry goes at the bottom because it's cooked hottest.

Two more storage rules that affect how you lay out shelving:

  • Off the floor. State codes based on the Food Code require food to be stored at least 6 inches (15 cm) above the floor, in a clean, dry spot, with limited exceptions for things like certain cased or waterproof packaged product (Washington WAC 246-215-03351, adopting Food Code 3-305.11). If a case is sitting on the walk in floor because the shelves are full, that's a sign the order was too big, not just a cleanliness problem.
  • Covered and labeled. Prepped food should be covered, labeled, and dated before it goes on a shelf, not "after service."

If your walk in can't fit this order on one rack, use separate racks or separate units. Many kitchens put all raw proteins on one rack and keep the dairy and prepped items on another.

Setting up the walk in, freezer, and dry storage

The goal is a layout where doing it right is the easy option. If rotating takes three extra minutes per case, it gets skipped on a busy Friday.

Give every item one home

Every item gets a specific spot: "Walk in, shelf 1, left." Label the shelf edge with the item name. When cream always lives on the same shelf, anyone can find the oldest quart, and nobody starts a second stash somewhere else. Our guide to setting up a restaurant inventory count sheet uses the same shelf labels to put the count sheet in walk order, so the labels pay for themselves twice.

Leave room for a full par

Size each item's spot to hold its par level plus the delivery that refills it, with room to slide the old product forward. If the spot only fits what's on hand, the new case goes wherever there's space, and rotation breaks down. If you don't know your pars yet, see how to set restaurant par levels.

Use lanes, front to back

Shelves that are deep enough for two or three cases front to back work well for FIFO. The front case is open and in use, the one behind it is next, and the new delivery goes in the back. Cooks only ever pull from the front.

Where shelves are shallow, stack instead: new on the bottom, old on top. That's harder to keep up with heavy cases, which is one more reason to give bulky items their own lane.

Walk in

  • Follow the storage order above, rack by rack.
  • Keep a clear spot near the door for the next delivery, so cold product doesn't sit out while someone makes room.
  • Put a small "use first" bin or shelf at eye level for opened and prepped product that's closest to its date.

Freezer

Freezers hide old product better than anywhere else in the building. Cases get buried, labels frost over, and a box from last spring sits under the new stuff.

  • Date everything going in, including product you freeze yourself. Write the date it went into the freezer and what it is in large letters.
  • Use bins or labeled shelf sections by item, so a case can't slide to the back of the chest.
  • Pull to thaw from the front, and move thawing product to its labeled spot in the walk in with the date it came out.

Dry storage

  • Open one at a time. Three open bags of the same flour are harder to count, go stale faster, and make it impossible to tell which is oldest.
  • Bins need labels too. When flour or rice is decanted into a bin, put the item and the date on the bin. Don't pour new product on top of old. Use up what's in the bin, clean it, then refill.
  • Cans and jars go new to the back just like cases in the walk in. Rotate canned goods whenever a delivery comes in, not only when the front row runs out.

The rotation routine for every delivery

Write this routine down and post it near the walk in. It should take a few extra minutes per delivery, not an hour. For the checks to do before you sign the invoice (counts, weights, temperatures, condition), see the receiving section of the purchasing guide linked at the top of this article.

Before the truck

  1. Make room. Clear the spot near the walk in door and the freezer so cold product can go straight in.
  2. Pull old forward. On the shelves you're about to restock, slide what's left to the front.

Putting it away

  1. Cold and frozen first, dry goods and paper last.
  2. Date every case as you put it away, unless it's already clearly dated.
  3. Check the date against what's on the shelf. Normally the new case goes behind or under the old one. If the new case has an earlier date, it goes in front instead.
  4. Put it in its home, not wherever there's space. Product in a new spot gets missed on the next count.

Before you walk away

  1. Look for anything close to its date. Move it to the "use first" spot and tell the chef or kitchen manager, so it gets used in prep or a special instead of thrown out.
  2. Break down boxes and get them out of the walk in, so the next cook can see what's on the shelf.

Worked example: cream, dates, and the Thursday order

This is an illustrative example. The restaurant, usage, dates, and price are made up to show the method, and usage is assumed to be the same every day to keep the math simple. They aren't typical figures for any kitchen.

A restaurant gets dairy on Tuesdays and Fridays. It counts on Thursday morning and orders by noon for Friday's truck. Heavy cream comes in cases of 12 quarts and is counted in quarts.

The par

The kitchen uses about 4 quarts a day. Thursday's order has to cover Thursday through Monday, until Tuesday's truck arrives: 5 days.

Usage until the next truck:   4 qt × 5 days     = 20 qt
Buffer:                                            4 qt
Par for the Thursday order:   20 qt + 4 qt      = 24 qt

The count, by location

The counter walks the kitchen in shelf order and writes down where each quart is and its use by date:

LocationQuartsUse by
Walk in, shelf 1, front (loose)6Friday
Walk in, shelf 1, back (sealed case)12Next Thursday
Pastry lowboy4Friday
Bar reach in2Friday
Total24

On a plain count sheet, cream is at par: 24 on hand against a par of 24. The usual answer is to order nothing.

The date check

Look at the dates. Twelve of those quarts (6 + 4 + 2) have to be used by Friday. With strict FIFO, the kitchen will use 8 of them on Thursday and Friday (4 quarts × 2 days). The other 4 will be past their date before anyone needs them.

Quarts dated Friday:          6 + 4 + 2           = 12 qt
Used by end of Friday:        4 qt × 2 days       = 8 qt
At risk of expiring:          12 − 8              = 4 qt

Usable on hand:               24 − 4              = 20 qt
Short of par:                 24 − 20             = 4 qt
Order:                        4 qt short → 1 case (12 qt)

What happens if they order nothing

Saturday morning, the only cream left is the sealed case: 12 quarts for Saturday, Sunday, and Monday at 4 quarts a day. That's exactly 12. The buffer is gone, because it was the 4 quarts that expired Friday night. One busy brunch or one dropped quart and the kitchen runs out Monday before the truck. Our guide on why restaurants run out of ingredients traces a lot of 86s back to exactly this: a count that looked fine on paper.

What happens with the order

The kitchen orders 1 case. When it arrives Friday morning, it goes behind the sealed case, which is the older of the two. Cream is used in date order: the Friday quarts on Thursday and Friday, the older sealed case Saturday through Monday, and the new case is untouched when Tuesday's truck comes.

Usable after Friday's delivery:   20 qt + 12 qt   = 32 qt
Used Thursday through Monday:     4 qt × 5 days   = 20 qt
Left Tuesday morning:             32 − 20         = 12 qt

Ordering a full case to cover a 4 quart shortfall leaves the shelf a little long on Tuesday. That's the cost of buying in whole cases, and it's worth a look when you next adjust Tuesday's par.

Don't just let the 4 quarts go

The order fixes the weekend, but the 4 quarts dated Friday are still at risk. The chef has until Friday night to use them: a cream sauce special, a batch of ice cream base for pastry, or family meal. At an illustrative $4.50 a quart, that's $18. If the same thing happens every week, it's $936 a year (4 quarts × $4.50 × 52 weeks) on one item.

The real fix is upstream. If cream keeps getting close to its date, the par for that order day is too high or the case size is too big for the gap between trucks.

Counting by storage location

The example only works because the counter checked every place cream lives. If the bar reach in and the pastry lowboy had been skipped, the count would have been 18 quarts, and nobody would have seen the 6 quarts dated Friday sitting in those two spots.

A count sheet organized by storage location makes this routine. The counter walks one direction through each area, top shelf to bottom, and every item has a line in the place it actually lives. Items stored in two places get a line in each place. The count sheet guide linked above walks through the layout, and the free inventory count sheet template is already set up in shelf order.

For FIFO, add one thing to your perishable lines: the earliest date on that item. You don't need a date for every case. You need to know whether the oldest one will be used before it expires. Dry goods and paper usually don't need it on every count.

Ordering so old product gets used first

Rotation on the shelf and ordering at the desk have to agree. A few habits keep them in line:

  • Subtract what will expire before you use it. Do this on perishables with short dates: cream, berries, fresh fish, prepped items. If the oldest product won't be used in time, don't count it toward the par.
  • Size pars to shelf life, not just usage. If a par covers more days than the product lasts, lower the par and order more often. The par level calculator works out the base number, and you can cap it from there.
  • Be careful with case deals and rounding up. Ten bags at a discount is only a deal if you'll use all ten before they go stale. Our guide to inventory turnover and slow movers shows how to spot the items where this keeps happening.
  • Write storage notes on the order guide. "Short shelf life, order Tue and Fri only" or "Max 2 cases, freezer space" tells whoever is ordering what the shelves can actually handle. See how to build a restaurant order guide.
  • Count before you order, every time. Standing orders and "the usual" ignore what's still on the shelf and what's about to expire.

Common FIFO mistakes

  • Putting new product in front because it's faster. It's the most common one, and it happens on busy delivery days. Making room before the truck arrives is the fix.
  • Dating some things. If only half the walk in is dated, cooks stop trusting the dates. Date everything, or the system falls apart.
  • Day dots with no date. A blue dot on a container from two Mondays ago looks the same as one from this Monday.
  • Second homes. A backup case in the freezer, a few quarts on the bar, an overflow shelf upstairs. Every extra spot is somewhere old product can hide and a place the counter can miss.
  • Topping off bins. Pouring new rice on top of old means the bottom of the bin never gets used.
  • Treating 7 days as the target. It's the outer limit for date marked food under the Food Code, not a quality standard.
  • Overfilling to save a delivery fee. Cases stacked on the floor and shelves too full to rotate usually trace back to an order that was too big for the space.
  • Not telling anyone. A cook who notices product about to expire and says nothing has found the problem and let it go to waste anyway.

What line cooks can do

Rotation lives or dies with the people who open the walk in fifty times a shift.

  • Pull from the front, every time, even when the new case is easier to reach.
  • Label it before it goes in the lowboy. Item, date, use by, initials.
  • Use what's open first. Don't open a new container when there's already one started.
  • Say something when you see a date coming up. "There are 4 quarts of cream dated Friday" is exactly what a chef needs on Wednesday.
  • Put things back where they live. A quart left on the wrong shelf is a quart that gets missed on the count and forgotten until it goes bad.
  • Write it down when you toss it. If something does expire, note it on the waste log, so the count makes sense on Monday.

FAQ

What does FIFO stand for in a restaurant?

First in, first out. The product that arrived or was made first gets used first. In a kitchen, that means dating product when it comes in or gets prepped, putting new product behind or under old product, and always pulling from the front.

What's the difference between FIFO and FEFO?

FEFO stands for first expired, first out. It means using whichever product has the earliest date, even if it arrived later. Most of the time FIFO and FEFO point to the same case. When they don't, go by the date.

How long can prepped food be kept in a restaurant cooler?

Under the FDA Food Code, ready to eat food that needs temperature control and is held in the cooler for more than 24 hours can be kept for no more than 7 days at 41°F or below, with the day it was made counted as Day 1. Some foods are exempt, and your state or county code may differ, so check with your local health department. Many items should be used well before 7 days for quality.

What is the correct order to store food in a walk in cooler?

Ready to eat and cooked food goes on top. Below that, raw food is stored in order of its minimum cooking temperature: whole seafood, beef, and pork, then ground meats and fish, with poultry on the bottom. Keep all food at least 6 inches off the floor.

Do dry goods need to be rotated?

Yes. Flour, rice, spices, and oils lose quality, and some get pests if they sit too long. Put new cans and bags behind the old ones, open one at a time, and don't pour new product on top of old product in a bin.

How do I get my staff to actually follow FIFO?

Make it easier than not following it. Give every item one labeled home with room for the next delivery, make room before the truck arrives, and keep tape and markers where product gets put away. Then check it: a manager walking the walk in once a day and pulling anything out of order sets the standard faster than a sign on the door.

Where Proteus Kitchen fits

Proteus Kitchen doesn't track expiration dates or remind you when product is getting close to its date. The dates still live on the product, on your labels. What Proteus does is keep the records behind your counts and orders in one place. Each inventory item has its vendor, category, storage location, order unit, count unit and the conversion between them, a par level, a minimum, and the last vendor price. When you build a purchase order, it shows each item's current count, its par, and a suggested quantity, and you decide the final number, including any product you know won't last.

If your item list and vendors already live in a spreadsheet, Free Restaurant Setup covers bringing them into Proteus, and there's a 30 day free trial below.

Sources

Next step: walk one shelf this week

  1. Pick your highest waste section of the walk in, often dairy, produce, or prepped items.
  2. Give each item a labeled home with room for its par plus the next delivery.
  3. Date everything on that section and move anything close to its date to a "use first" spot.
  4. On your next count, write the earliest date next to each perishable item, and subtract what won't be used in time before you compare it to the par.
  5. After two weeks, check the waste log for that section and expand to the next one.