Break-Even Calculator

Units and revenue to cover fixed costs, with a chart and target profit.

About this tool

Fixed monthly costs, selling price, variable cost per unit and (optionally) the profit you want: the break-even point comes back in units, revenue, per day and per week, with the classic cost-versus-revenue chart. Computed in your browser.

The arithmetic every business plan needs

Each sale contributes its price minus its variable cost toward the fixed costs; break-even is the number of contributions it takes to cover them. That single line answers the questions that start most ventures β€” is this price viable, how many customers a week is β€œenough”, what happens if rent rises or materials drop 10% β€” and the chart shows how steeply profit grows past the crossing point, which is why volume businesses love scale. Add a target profit and the units needed to pay yourself appear too. Honest caveats the formula hides: fixed costs are fixed only within a range (a second van, a second employee, a bigger kitchen are steps), variable costs often fall with volume, and a break-even of 300 units a month says nothing about whether 300 people will buy β€” it tests prices and costs, not demand. Nothing is stored. The margin calculator handles pricing and markup, the ad cost calculator the cost of buying customers, the loan calculator the financing.

Frequently asked questions

What counts as a fixed cost?

Anything you pay whether you sell or not: rent, salaries, insurance, software subscriptions, loan repayments. Materials, packaging, payment fees and shipping vary per unit and go in the variable cost.

What is contribution margin?

Price minus variable cost per unit β€” the amount each sale contributes to fixed costs and then profit. Its ratio to price tells you how much of every pound or dollar of revenue is available to cover overheads.

Why is there no break-even shown?

The price is at or below the variable cost, so every sale loses money and no volume fixes it. Raise the price or cut the unit cost.

Does it work for services?

Yes β€” treat an hour, a session or a project as the unit, with your delivery cost as the variable cost.