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Break-Even Calculator

Estimate the sales units and revenue needed to cover fixed and variable costs for a product or service.

Your inputs

Adjust the example values, then calculate.

Your result

Review your calculated values below.

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How to use this calculator

  1. Enter your values in the labeled fields, keeping the displayed units.
  2. Choose Calculate or press Enter in a single-line field.
  3. Review the result and the assumptions below before using it.

Formula and method

Break-even units = fixed costs / (price per unit − variable cost per unit). Round up for whole units.

Worked example

Fixed costs of 10,000 and a contribution of 20 per sale require 500 units, or 25,000 revenue.

What the result assumes

Prices and variable costs must stay constant. The model assumes one product or a stable sales mix.

Common question

What happens when the price is below variable cost?

Each sale adds a loss, so there is no finite break-even volume under these assumptions.

Reference

U.S. Small Business Administration: break-even method