Break-Even Calculator

Find out how many units you must sell before a product or business starts turning a profit. This free online business & marketing calculator runs entirely in your browser — no signup, no data sent anywhere.

· Reviewed by the CalculatorHive editorial team

Inputs

Results

Break-Even Units
Break-Even Revenue
Contribution Margin / Unit
Contribution Margin %

How It Works (Formula & Method)

The contribution margin is the price per unit minus the variable cost per unit — the amount each sale contributes toward covering fixed costs. The break-even point in units is Fixed Costs ÷ Contribution Margin. Multiply by price to get break-even revenue.

Below the break-even point you operate at a loss; above it, each additional unit adds its full contribution margin to profit.

Worked Example

Below is a worked example using the calculator's default values. The same numbers are pre-filled in the form above so you can press Calculate and see the result without typing anything.

Inputs used:

  • Fixed Costs ($): 50000
  • Price per Unit ($): 40
  • Variable Cost per Unit ($): 15

With these inputs, the calculator computes the metrics shown in the Results panel. Change any value and press Calculate again to see how the result responds — the live widget and the chart both update instantly.

Tips & Considerations

Fixed costs (rent, salaries, insurance) do not change with volume; variable costs (materials, shipping, payment fees) scale with each unit sold. Lowering fixed costs or raising the contribution margin both push the break-even point down. If price is at or below variable cost, there is no break-even — every sale loses money.

Frequently Asked Questions

What does the Break-Even Calculator compute?

The Break-Even Calculator takes 3 input values and returns 4 results. Find the number of units and revenue you need to sell to cover fixed and variable costs, plus the contribution margin per unit and as a percentage.

Is my data sent to a server?

No. The Break-Even Calculator runs entirely in your browser using static JavaScript. Your inputs are never transmitted to CalculatorHive or any third party, and nothing is stored after you close the page.

Is this calculator free to use?

Yes. Every calculator on CalculatorHive is completely free. There is no signup, no paywall, and no usage limit. The site is supported by display advertising and affiliate partnerships, which are clearly labeled.

How accurate is the result?

The math is mathematically exact for the inputs you provide. Real-world accuracy depends on how accurately your inputs reflect the real situation — defaults are typical values, not guarantees.

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