Break-Even Calculator
Enter your costs and price. We compute break-even point in units and revenue, contribution margin, and a chart.
Rent, salaries, insurance — costs that don't change with output.
What the customer pays per unit.
Materials, per-unit commissions, shipping — costs that scale with each unit sold.
If filled, we'll also show units to hit this profit on top of break-even.
Used everywhere on this page — try €, £, ¥, C$, etc.
Break-Even Analysis
Revenue Total cost Fixed cost Break-even point
Enter a fixed cost, price, and variable cost to see results.
How break-even works
You break even when total revenue = total cost. Each unit sold contributes (price − variable cost) toward covering fixed costs. Once fixed costs are covered, further units are profit.
Formula: Break-even units = Fixed costs ÷ (Price − Variable cost)
When this is useful
- Deciding whether a price is high enough to sustain the business.
- Pricing a new product or service.
- Evaluating a fixed-cost investment (e.g. new equipment) by computing how many extra units must be sold to justify it.
- Setting sales targets for a period.
Watch out for
- This assumes linear costs and a single price. Real businesses often have volume discounts, step costs, and mixed products.
- "Break-even" is accounting-profit. Opportunity cost is not included.
- Price must exceed variable cost. If not, no volume of sales will cover fixed costs — you're losing money on every unit.