Break-Even Point Calculator
Find out exactly how many units you need to sell — or how much revenue you need — before you start making a profit.
Enter Your Numbers
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Enter your numbers and click Calculate to see your break-even point.
How Break-Even Is Calculated
Your break-even point is the number of units you need to sell so total revenue exactly equals total costs — no profit, no loss. It's calculated as:
Break-Even (units) = Fixed Costs ÷ (Price per Unit − Variable Cost per Unit)
The denominator (Price − Variable Cost) is called your contribution margin — how much each unit sold actually contributes toward covering your fixed costs, after accounting for what it directly cost to produce or deliver.
Why This Matters
Every unit sold above your break-even point is where actual profit starts. Knowing this number precisely — not roughly — changes how you think about pricing, discounting, and which products or services are actually worth pushing. A 10% discount that looks harmless can quietly push your break-even point up significantly if your margins are thin.
Want to go deeper on the numbers behind this? Read our guide on financial KPIs every small business should track.
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