Break-Even Calculator
How many units do you need to sell to break even? This calculator tells you the exact sales volume needed to cover all fixed and variable costs — so you know if your business idea is viable.
Break Even Point Calculator
Find out when your business becomes profitable
Rent, salaries, software, insurance — costs that don't change with sales
You need to sell 167 units at $50 each (or generate $8,350 in revenue) per month just to cover your costs.
This break even analysis assumes a single product/service at a constant price. For multi-product businesses, calculate weighted average contribution margin. Fixed costs should include all recurring expenses but not one time costs.
Advertisement
Smart Budget Planning for Your Business
Track every dollar of your business income and expenses with a dynamic Google Sheets budget planner. Automated insights, interactive dashboard, and full history tracking.
Affiliate link — we earn a commission at no cost to you. We only recommend products we trust.
Frequently Asked Questions
How do I calculate my break-even point?+
Break-even point (units) = Fixed costs ÷ (Price per unit − Variable cost per unit). The denominator is your contribution margin. If fixed costs are $50,000, price is $100, and variable cost is $40, you need 834 units to break even.
What is the difference between fixed and variable costs?+
Fixed costs stay the same regardless of sales: rent, salaries, insurance, loan payments. Variable costs change with each unit sold: materials, shipping, packaging, transaction fees. Knowing this split is essential for pricing, forecasting, and break-even analysis.
How long do most startups take to break even?+
Most small businesses take 18-36 months to break even. Service businesses break even faster (6-12 months) because they have lower startup costs. Product businesses take longer due to inventory, equipment, and marketing costs. Plan for at least 12 months of losses.
How do I calculate my break-even point?
Break-even point (units) = Fixed costs ÷ (Price per unit − Variable cost per unit). The denominator is your contribution margin. If fixed costs are $50,000, price is $100, and variable cost is $40, you need 834 units to break even.
📖 Free guide
How to Set Your Freelance Hourly Rate: The Math That Actually Works in 2026
The salary divided by 2,080 method underpays you. The real formula adds your target income, business expenses, and self employment tax, then divides by realistic billable hours. This guide shows the full math, when to raise rates, and why project pricing usually beats hourly.
Read the full guide (13 min)Related Free Calculators
Startup Runway Calculator
How many months can you survive before running out of money? This calculator shows your runway in months — and how many more months you gain by cutting costs or increasing revenue.
Business Profit Margin Calculator
What's your actual profit margin? This calculator shows gross, operating, and net margins — so you know exactly where your money is going and where to optimize.
Business Debt Payoff Calculator
Business debt doesn't have to keep you up at night. This calculator shows you the fastest payoff strategy — avalanche vs. snowball — with a month-by-month schedule.
SaaS Metrics Calculator
Running a SaaS business? This calculator tracks MRR, ARR, churn, LTV, CAC, and payback period — the metrics that determine whether your SaaS is investable.
Customer Acquisition Cost Calculator
How much does it cost to acquire a new customer? This calculator shows your CAC across different marketing channels — and whether you're spending profitably.
Customer Lifetime Value Calculator
How much is each customer worth to your business? This calculator shows CLV based on purchase frequency, average order value, and customer lifespan — so you know what to spend on acquisition.