Business

Break-Even Calculator

How many units sold or clients served before you start making real profit? Find your exact break-even point.

Price per Unit / Client ($)

Variable Cost per Unit ($) Materials, delivery, fulfillment per unit

Monthly Fixed Costs ($) Rent, payroll, subscriptions — costs that don't change with volume

Current Monthly Units / Clients

Contribution Margin

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Break-Even Units/Month

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Break-Even Revenue/Month

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Current Monthly Profit/Loss

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Break-Even Analysis Explained

Break-even is the point where total revenue equals total costs — no profit, no loss. Below break-even you're losing money; above it, every unit sold is pure profit minus variable cost.

Contribution Margin = Price − Variable Cost per Unit
Break-Even Units = Fixed Costs ÷ Contribution Margin
Break-Even Revenue = Break-Even Units × Price

What is contribution margin?

Contribution margin is the amount each unit sold contributes toward covering fixed costs. Once fixed costs are covered, contribution margin becomes profit. Example: $99 price − $25 variable cost = $74 contribution margin per unit.

How can I lower my break-even point?

Three levers: raise prices, reduce variable costs per unit, or reduce fixed overhead. Raising prices is usually the highest-leverage move if the market allows it.