Break-Even Calculator

Find the sales volume where your revenue exactly covers your costs.

How to Use This Calculator

Selling price — what customers pay per unit.
Variable cost — the cost that changes per unit (materials, packaging, shipping).
Fixed costs — costs that stay the same regardless of volume (rent, salaries, insurance).
Target profit — add a desired profit to find how many units are needed to reach it.

What is a break-even point?

It is the sales volume at which total revenue equals total costs — no profit, no loss. Everything sold beyond it is profit.

What is contribution margin?

It is the selling price minus the variable cost per unit. Each unit sold contributes this amount toward covering fixed costs.

Can I use this for a service business?

Yes. Use your average service price as the "unit" and treat delivery costs as variable costs.

Why is the break-even point important?

It tells you the minimum sales you need to avoid losses, and helps you price products and plan marketing budgets.

You sell a product for $25 with $10 variable cost and $15,000 monthly fixed costs: