Break Even Point Calculator

Find how many units you must sell to cover fixed costs, from fixed costs, unit price and variable cost per unit, with contribution margin and revenue.

Runs on your device

Result

Results appear here as you type.

What it does

Each sale contributes (price − variable cost) towards fixed costs such as rent and salaries. Break even is the number of sales at which those contributions cover the fixed costs.

How to use it

  1. Enter monthly (or total) fixed costs.
  2. Enter price and variable cost per unit.
  3. Read the break even units and revenue.

Example

50,000 ÷ (1,500 − 900) = 83.3, so 84 units. Select Try an example above to see it.

When it helps

  • Testing a business idea.
  • Setting sales targets.
  • Evaluating price changes.

Questions

What counts as a fixed cost?

Costs that do not change with sales volume in the short term: rent, salaries, software subscriptions, hosting.

Why round up?

You cannot sell part of a unit, so the break even quantity is rounded up.

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