Budget
Cranberry Cafe
A huge variety of sandwiches, pizza, sushi, and udon. Hot and cold salad bars. Sandwiches are $4-$6. Very popular with local workers, so it gets very busy at breakfast and lunch time. There is ample seating upstairs.
Poseidon Bakery
Serves wonderful Greek pastries, savory and sweet alike. There is no place to sit, but the staff are very friendly and helpful, and you can have a delicious, cheap meal for takeout.
Midrange
Carnegie Deli
This popular deli is a place some love and some hate. They serves enormous sandwiches -- each of which could easily feed two hungry people. There is a $3 charge for sharing the sandwiches.
Meskerem
Delicious Ethiopian food, served on delightfully sour injera sour dough flatbread made from teff, an Ethiopian grain. The combos are the best values, and consider getting some tej mead to drink with the meal. Bottles are a good value at $18.
Ocha
Japanese restaurant with good sushi.
Vice Versa
Simple, but tasty Italian fare.
Ariana Afghan Kebab House
Very good food, which of course includes kebabs, but also peppery Aush a type of beany noodle soup, Badinjan Burani a fried eggplant appetizer garlic and yogurt, served with bread, etc. Salads, which come with main dishes, have a dressing which includes mayonnaise. Ask for no dressing and put the green hot sauce on them yourself.
Gazala's Place
Dependably delicious Israeli Druze cuisine. Their babaganush is categorically better than at most other places, with great smokiness. Their special meze platter, which is not on the menu but seems to always be available, is a fair deal at $20-something. The restaurant is a bit cramped, especially when you have to walk through the kitchen to the restroom, but for food this good at these kinds of prices this close to Times Square and helpful service, it's really worthwhile.
Top end
Times Square can seem infested with glorified, tacky, and overpriced versions of chain restaurants like McDonalds, Bubba Gump Shrimp, Red Lobster, and Applebee's that you can find anywhere else in America. These restaurants are more expensive than their suburban counterparts a Big Mac costs $6 However, there are better food options available in the area, especially if you get away from Times Square proper and explore other areas in the Theater District.