Break-even Calculator

Find how many units you need to sell to cover your costs. Enter fixed costs, price, and variable cost per unit.

Currency

You need to sell 500 units (or earn $25,000.00) to break even.

Formula

The denominator is contribution margin. You need enough contribution margin to cover fixed costs.

Break-even Units = Fixed Costs ÷ (Price - Variable Cost per Unit)

Example:

Fixed $10,000, Price $50, Variable $30: Break-even = 10,000 ÷ 20 = 500 units

What is break-even analysis?

Break-even is the point where total revenue equals total costs—no profit, no loss. It helps you know how many units to sell to cover fixed costs.

When is contribution margin negative?

When variable cost per unit exceeds price. You cannot break even—each sale increases your loss. You must raise price or reduce variable costs.