Break-Even Point Calculator

Determine required unit sales to cover fixed manufacturing costs. Fast, free, and fully client-side.

Calculator Inputs

Fixed Operating Costs ($)
Sale Price Per Unit ($)
Variable Cost Per Unit ($)
Required Units
Break-Even Sales Revenue ($)

How the Break-Even Point Calculator Works

Break-even analysis determines the exact sales volume and revenue required for a business to completely cover all fixed and variable costs, reaching the point of zero profit and zero loss.

Formula

Break-Even Units = Fixed Costs / (Unit Price - Unit Variable Cost)

The denominator (Unit Price - Variable Cost) is the Contribution Margin per unit.

Calculation Example

With $10,000 in monthly fixed costs, selling a product for $50 that costs $30 to produce requires 10,000 / (50 - 30) = 500 units ($25,000 in revenue) to break even.

Frequently Asked Questions

What is a Contribution Margin?

The revenue remaining from each unit sold after subtracting direct variable costs, which goes toward paying fixed overhead.

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