Break-Even Calculator

Find how many units you must sell to cover fixed and variable costs, and the break-even revenue.

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Rent, salaries, software and other costs that do not change with sales.
Materials, packaging, payment fees, shipping per unit.
Break-even point
–
  • Contribution margin per unit –
  • Contribution margin ratio –
  • Units for target profit –
  • Revenue for target profit –
Break-even units = fixed costs ÷ (price − variable cost per unit)

How to use the Break-Even Calculator

  1. Enter your fixed costs for the period.
  2. Enter the selling price and variable cost per unit.
  3. Read the break-even units, revenue and contribution margin; add a target profit if you have one.

Break-even units = fixed costs ÷ (price − variable cost per unit). The difference between price and variable cost is the contribution margin: the amount each sale contributes towards fixed costs. Units needed for a target profit = (fixed costs + target profit) ÷ contribution margin.

Frequently asked questions

What if the price is lower than the variable cost?
Then every sale loses money and you can never break even. The calculator warns you.