Breakeven Calculator
Calculate the breakeven point — the units and revenue where total costs equal total revenue, and profit becomes zero. Enter fixed costs, selling price and variable cost per unit to see how many sales you need before you start making money.
What this means
Each sale contributes its price minus variable cost toward fixed costs. The breakeven point is when those contributions have fully covered the fixed costs. After that, each unit sold is pure contribution margin.
How we calculate it
Formula
Breakeven units = Fixed costs ÷ (Price − Variable cost per unit). Breakeven revenue = Units × Price.Worked example
Fixed $10,000, price $50, variable cost $30:
- 1Contribution per unit = 50 − 30 = $20
- 2Units = 10,000 ÷ 20 = 500
- 3Revenue = 500 × 50 = $25,000
Important assumptions
- Price and variable cost are assumed constant across all units.
Frequently asked questions
What are fixed and variable costs?
Fixed costs stay constant regardless of sales (rent, salaries). Variable costs scale with production (materials, shipping).
Why is breakeven important?
It tells you the minimum sales needed to avoid losses and lets you price with confidence — essential for launching a product or a campaign.
Guide
ROI Calculator Guide: Measure Any Investment the Right Way
ROI turns a messy investment story into one comparable percentage. Here is the formula and the traps to avoid.
Related tools
ROI Calculator
Calculate return on investment as a percentage and in money.
Profit Margin Calculator
Calculate profit margin and markup from cost and revenue.
CPM Calculator
Calculate CPM, CPC and cost per impression for ads.
Weighted Average Calculator
Compute an average where some values matter more than others.
BMR Calculator
Calculate your Basal Metabolic Rate with the Mifflin-St Jeor equation.
Ideal Weight Calculator
Find your ideal weight range using four medical formulas.