Break-Even Calculator

Units and revenue needed to cover all costs.

Break-Even Calculator

Worked example result
Break-even units500
Break-even revenue$25,000
Contribution margin per unit$20.00
Contribution margin %40.00%

With $10,000 fixed costs and $20 of margin per unit, break-even is 500 units — $25,000 of revenue.

The break-even point is where total revenue exactly covers total costs — no profit, no loss. Enter fixed costs, price per unit and variable cost per unit to find how many units you must sell.

The formula

Break-even units = Fixed costs ÷ (Price − Variable cost per unit)

Worked example

With $10,000 fixed costs and $20 of margin per unit, break-even is 500 units — $25,000 of revenue.

The example is pre-loaded in the result panel — press Calculate with your own numbers to replace it.

Frequently asked questions

What counts as a fixed cost?

Costs that do not change with sales volume in the period: rent, salaries, insurance, software. Variable costs scale with each unit: materials, packaging, per-sale fees.

What if my price is below variable cost?

You can never break even — every sale loses money. The calculator flags this case instead of returning a meaningless number.

Category: Finance calculators