Do Cottage Foods Need a Nutrition Label?

Updated November 2026 · For US cottage food sellers

Short answer: usually not by law — most cottage food operations qualify for a federal small-business exemption. But the exemption is fragile. The moment you make a nutrition claim, sell to a store, or list on a marketplace, a full Nutrition Facts panel becomes required or expected. This guide explains where the line is, so you can decide before you print labels.

The exemption most cottage sellers qualify for

Under 21 CFR § 101.9(j)(1), food is exempt from nutrition labeling when it is sold by a person who makes direct sales to consumers and whose annual gross sales are not more than $500,000 (total sales to consumers) or not more than $50,000 in food sales to consumers. The figure is based on the most recent two-year average; newer businesses use a reasonable estimate.

A home baker selling at farmers markets, taking custom orders, or selling from a home kitchen almost always falls under this threshold. The full rule is on Cornell LII — 21 CFR 101.9.

The catch. The exemption applies only if the food bears no nutrition claims or other nutrition information anywhere on the label, in labeling, or in advertising. Write “low sugar,” “high protein,” or even add a voluntary panel, and the exemption disappears — the food becomes subject to the full rules.

When you need a panel anyway

You make a claim. Words like free, low, reduced, fewer, high, less, more, lean, extra lean, good source, and light are regulated nutrient content claims. Use one and a compliant panel is mandatory.
You sell to a shop or café. Wholesale and retail buyers almost always require a nutrition panel in their vendor onboarding pack, exemption or not.
You sell on a marketplace. Amazon and similar platforms ask for nutrition information in food categories.
Your state program requires it. Cottage-food rules are set state by state; some require labels that mirror the federal panel. Check your own state — see our California checklist for one worked example.

A separate exemption, § 101.9(j)(4), covers foods with insignificant amounts of all nutrients — plain coffee, tea, flavor extracts, food colors. Most baked goods, jams and sauces do not qualify, because they carry meaningful calories, carbohydrate or sodium.

State rules sit on top of federal rules

Even when the federal panel is exempt, your state’s cottage-food program has its own label requirements: product name, a “made in a home kitchen” statement, the operation’s name and address, a registration or permit number, an ingredient list, allergen declaration, and net quantity. These are not the Nutrition Facts panel — they are a separate set of mandatory items. Our category guides walk through them for home bakeries, jam & preserves, and hot sauce.

What a compliant panel actually needs

If you do need a panel, it must carry serving size and servings per container; Calories; total fat, saturated fat, trans fat, cholesterol, sodium, total carbohydrate, dietary fiber, total sugars, added sugars and protein; plus vitamin D, calcium, iron and potassium with % Daily Values. Each number follows its own rounding steps — see FDA rounding rules, nutrient by nutrient. For the three ways to produce a panel (lab, consultant, or database software) and what each costs, read how to get a nutrition label.

The practical move

If there is any chance you will sell through a store, a market that asks for panels, or online, build the panel now from a weighed recipe. Database analysis — the method consultants use behind the scenes — is the fastest and cheapest route, and it keeps you ready for the day a buyer asks. The label is only as accurate as the weights you enter, so weigh the batch, not your memory.

Build a panel from your recipe

NutrientLabel generates a print-ready FDA panel in minutes — free, no account, nothing uploaded. Free exports are 2.5″ vertical with a small watermark; other sizes and the small-package tabular/linear formats are part of Pro.

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