Break-Even Calculator

Find out how many units you need to sell — and how much revenue you need — to cover your costs.

Fixed costs (monthly)

Selling price per unit

Variable cost per unit

Fixed costs: rent, salaries, insurance — costs that don't change with sales volume. Variable cost: materials, packaging, per-unit delivery — costs that scale with each unit sold.

The Formula

Contribution margin = Price − Variable cost

Break-even units = Fixed costs ÷ Contribution margin

Break-even revenue = Break-even units × Price

Below the break-even point you operate at a loss. Above it, every additional unit sold contributes directly to profit (at the contribution margin per unit).

Simplified model. Assumes a single product/price point and linear costs. Real businesses with multiple products, step-fixed costs, or volume discounts will need a more detailed model.