Finance · Free tool
Break-Even Calculator
How many units do we have to sell before the fixed costs are covered? This break-even calculator answers that from three numbers: the price of one unit, the variable cost of one unit, and the fixed cost for the period. It is useful for founders pricing a product, managers testing a new line, and anyone preparing a lender or board discussion.
- OutputBreak-even units and revenue
- No sign-up
- Copy or print the result
- How it works ↓
Your entries stay in this browser. Use Fill example to see a finished page first.
What this finance tool gives you
The result shows three figures side by side: break-even units, break-even revenue, and contribution per unit. With those on one card you can show a team how a price change or a cost saving moves the target, and copy the numbers straight into a pricing memo.
What you enter
- Currency: USD by default, or EUR or GBP (only changes how amounts are formatted)
- Price: what the customer pays for one unit
- Variable cost: the cost that shows up for each unit sold
- Fixed cost: the cost that stays put for the period, however many units you sell
Worked example
Using the tool's example, a unit sells for $50 and costs $20 in variable cost, so each sale contributes $30. Fixed cost for the period is $3,000. Dividing $3,000 by $30 gives a break-even of 100 units. At $50 each, that is $5,000 of break-even revenue. Every unit beyond the hundredth adds $30 to profit.
How is the break-even point calculated?
Contribution per unit = price − variable cost. Break-even units = fixed cost ÷ contribution per unit. Break-even revenue = break-even units × price.
The price must be above the variable cost; otherwise each sale loses money and there is no break-even quantity, so the tool shows a warning instead of a result. Amounts cannot be negative. The unit count is not rounded up, so a fractional result appears with two decimals. This is arithmetic on your inputs, not a forecast of demand.
Tips before you use the result
- If the result is fractional, round up to the next whole unit; you cannot sell part of a unit to reach break-even.
- Match the period: if fixed cost is monthly, the break-even units are per month too.
- Try a small price increase. Because it raises contribution directly, a modest change in price often cuts the break-even volume more than the same cut in fixed cost.
- Include only costs that truly vary per unit in variable cost, such as materials or payment fees; salaries and rent belong in fixed cost.
Frequently asked questions
What is the break-even formula?
Break-even units equal fixed cost divided by the difference between price and variable cost per unit. That difference is the contribution each unit makes toward fixed costs. With a $50 price, $20 variable cost, and $3,000 fixed cost, the break-even is $3,000 ÷ $30 = 100 units, or $5,000 of revenue.
What happens if variable cost is higher than price?
Then each unit sold adds to the loss rather than covering fixed costs, so there is no break-even quantity at all. The calculator stops and asks you to set a price above the variable cost. In practice that means revisiting pricing, supplier costs, or whether the product should be sold at all.
What is contribution margin per unit?
It is the price of one unit minus its variable cost: the amount each sale contributes toward fixed costs and then profit. This calculator shows it next to the break-even figures. A $50 product with $20 of variable cost has a $30 contribution per unit.
Does the break-even calculator save my numbers?
Yes, in your own browser. The three inputs are held in local storage on the device you are using, and you do not need to sign up. They are not shared with anyone, and you can clear them at any time with the Clear button.
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Results depend on the figures you enter; check them against your own records before you rely on them. Last updated: September 2026 · Kurums editorial team.