=FINANCE
Break-Even Calculator
Calculate break-even units and revenue from fixed costs, selling price per unit and variable cost per unit.
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Formula
Break-even volume is fixed costs divided by contribution margin per unit.
Contribution margin = selling price − variable cost
Break-even units = fixed costs ÷ contribution margin
Break-even units = fixed costs ÷ contribution margin
How it works
1
Enter fixed costs.
2
Enter selling price and variable cost per unit.
3
Review the minimum approximate unit volume and revenue needed to cover the fixed costs.
Important notes
If selling price is not greater than variable cost per unit, the model has no positive break-even point.
This is a simple planning model and does not account for taxes, financing or changing costs.