Break-Even Calculator

Find out how many units you need to sell to cover costs and start making profit.

Rent, salaries, insurance, etc.
Materials, labor per unit, etc.
Break-Even Point

0 units

0 in revenue to break even

Break-Even

0

Contribution

0

CM Ratio

0%

For Target

0

Revenue vs Cost

Documentation

The Break-Even Formula

Break-Even Units = Fixed Costs ÷ Contribution Margin

Contribution Margin = Price - Variable Cost

Break-Even Revenue = Break-Even Units × Price

💡 Pro Tip

The higher your contribution margin, the fewer units you need to sell to break even.

Key Terms

  • Fixed Costs: Costs that don't change with volume (rent, salaries)
  • Variable Costs: Costs that scale with each unit (materials, labor)
  • Contribution Margin: Revenue per unit minus variable cost
  • CM Ratio: Contribution margin as % of price

Last Updated: February 2026

How to Use

About the Break-Even Calculator

What it calculates

This break-even calculator models key business metrics for startups and small companies. Calculate break-even point in units and revenue.

When to use it

Use when forecasting runway, pricing, margins, or growth to support business planning.

Example

Adjust the inputs above to model your specific scenario with the Break-Even Calculator.

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