⚖️ Break-Even Calculator
Enter your costs and price to find how many units you need to sell before you start making profit.
Frequently Asked Questions
How do I use the Break-Even Calculator?
Enter your Total Fixed Costs per period, the Variable Cost per Unit, and the Selling Price per Unit — results update automatically. Optionally enter your Actual/Expected Units to also see margin of safety and profit or loss at that volume. Click "Reset" to clear all fields.
How is the break-even point in units calculated?
Break-Even Units = Fixed Costs / (Selling Price − Variable Cost per Unit). The denominator is your contribution margin per unit — the amount each sale contributes toward covering fixed costs.
How is the break-even point in revenue calculated?
Break-Even Revenue = Break-Even Units × Selling Price. It can also be found as Fixed Costs / Contribution Margin Ratio, where the ratio is Contribution Margin per Unit / Selling Price.
What is the margin of safety?
Margin of safety is the gap between your actual (or expected) sales and the break-even point, shown in units or as a percentage. A higher margin of safety means more of a buffer before you start making a loss.
How do I find my selling price and variable cost?
Use our Profit Margin Calculator to work out a selling price from your cost and target margin — that selling price and cost can then be used as inputs here.
Once I'm past break-even, how do I bill clients for my products?
Use our Invoice Generator or Quotation Generator to create professional, print-ready invoices and quotes for your sales.
Why does the calculator show a warning if I enter a selling price below my variable cost?
If the selling price is less than or equal to the variable cost per unit, your contribution margin is zero or negative — meaning every unit sold loses money before fixed costs are even considered, so there is no break-even point. The calculator flags this with "Selling price must be greater than variable cost per unit" instead of showing a misleading result.
How do I use this calculator if I sell multiple products?
This calculator assumes a single product or service. For multiple products, calculate a weighted-average selling price and variable cost based on each product's sales mix (e.g. if Product A is 60% of sales and Product B is 40%, blend their prices and costs in that ratio), then enter those blended figures here.