Break-Even Calculator

The contribution margin (price − variable cost) must be positive, or you can never break even.

Break-even units = fixed costs ÷ (price − variable cost). Break-even revenue = units × price.

The model assumes a single price and constant variable cost per unit. Real businesses have tiered pricing, discounts and stepped fixed costs.

Fixed costs of 1,000 with a 5 margin per unit break even at 200 units.

1. Enter fixed costs.
2. Enter price and variable cost per unit.

• Setting variable cost above the selling price.

Find the sales volume at which total revenue equals total cost — your break-even point.

Founders, product managers and small-business owners pricing a product or planning a launch.

• Know how many units you must sell to stop losing money.
• See the revenue target that covers all costs.
• Test how price or cost changes move the break-even point.

• Pricing a new product before launch.
• Deciding whether a fixed-cost investment is worthwhile.
• Setting realistic monthly sales targets.