📌 Overview

Find the break-even point for your product or service: how many units you must sell, and the revenue needed, to cover fixed and variable costs.

📈 Break-Even Calculator

Find the break-even point for your product or service: how many units you must sell, and the revenue needed, to cover fixed and variable costs.

Fixed costs

Price per unit

Variable cost per unit

Enter costs to see the break-even point.

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📋 How to Use

Enter total fixed costs.
Enter the price per unit.
Enter the variable cost per unit.
See the break-even units and revenue instantly.

❓ FAQ

What is the break-even point?

It is the sales volume at which total revenue equals total costs, so you neither profit nor lose. Below it you lose money; above it you earn.

Why do I need variable cost?

Each unit sold adds a variable cost, reducing the contribution margin. Ignoring it makes the break-even point look falsely low.

Can I include expected sales?

The calculator shows the break-even point; compare it to your expected sales to see your margin of safety.

❓ More Questions

What is the break-even point?

It is the sales volume where total revenue equals total cost - no profit, no loss. Below it you lose money; above it you start profiting.

Why enter unit variable cost?

Each unit sold adds variable cost, affecting the contribution margin; ignoring it understates the break-even point.

💡 Use Cases

🚀

Startups

Know when the business turns profitable.

🛒

Pricing

Test price vs cost scenarios.

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Planning

Set realistic sales targets.

🔗 Related Tools

📖 Deep Dive: Break-Even Calculator

Why a break-even analysis

Before starting a business or launching a product, knowing how many units to sell to break even is basic homework. It tells you the safe boundary for pricing and cost.

How it works

Break-even point in units equals fixed cost divided by (unit price minus unit variable cost), i.e. how many units of contribution margin are needed to cover fixed cost; break-even revenue equals break-even units times unit price.

A quick example

Fixed cost 10000, unit price 50, variable cost 30 - each unit contributes 20, so you need to sell 500 units to break even, corresponding to 25000 in revenue.