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Break-Even Calculator

Find the exact number of units you must sell before your business turns a profit.

Fixed Costs
Rent, salaries, software โ€” costs that stay the same.
Variable Costs
Materials, packaging, shipping โ€” costs per unit.
Selling Price
What the customer actually pays per unit.
๐Ÿ’ก Pro tips
  • โ†’Raise price 5โ€“10% before cutting costs โ€” small price bumps have big margin impact.
  • โ†’Reduce variable costs by buying at scale or negotiating supplier terms.
  • โ†’Trim fixed costs first โ€” subscriptions, unused seats, oversized offices.
  • โ†’Bundle products to raise average order value without changing costs.
  • โ†’Track break-even monthly, not yearly โ€” trends move faster than you think.

This tool is for informational purposes only. Always verify results with a qualified professional.

What is the Break-Even Calculator?

The Break-Even Calculator finds the exact number of units you must sell before your business stops losing money and starts earning it. It compares fixed costs (rent, salaries) against the contribution margin of each unit you sell.

Every product, service or subscription has a break-even point. Knowing yours turns pricing from a guess into a decision โ€” you can see instantly whether a price change, a cost cut, or a volume push moves you into profit fastest.

Founders use break-even for launch planning, agencies use it to price retainers, and eCommerce sellers use it to pick which SKUs to keep. The visual chart shows the loss zone in red and the profit zone in green.

If your break-even feels impossibly high, either your price is too low, your variable cost is too high, or your fixed costs are bloated. Attack the biggest number first.

How to Use This Calculator

  1. 1Enter your total monthly fixed costs โ€” rent, salaries, software subscriptions, insurance.
  2. 2Enter the variable cost per unit โ€” materials, packaging, payment processing, shipping.
  3. 3Enter the selling price per unit (what the customer actually pays).
  4. 4Optional: enter your expected units per month to see your profit forecast.
  5. 5Click Calculate Break-Even to see units required, revenue target and a visual chart.

Frequently Asked Questions

What's the difference between fixed and variable costs?+
Fixed costs stay the same regardless of sales (rent, salaries). Variable costs scale with each unit sold (materials, shipping).
What is contribution margin?+
It's the selling price minus the variable cost per unit โ€” the amount each sale contributes to covering fixed costs and, eventually, profit.
Why did the calculator show no result?+
Your selling price must be higher than the variable cost. If it isn't, you lose money on every unit and no volume will save you.
Should I include my own salary in fixed costs?+
Yes, if you're paying yourself. If you're a solo founder deferring salary, keep it out for now but track what you're skipping.
How often should I recalculate?+
Any time a cost, price or supplier changes. At minimum, review quarterly โ€” costs drift up faster than most founders notice.