Break-Even Point Calculator
Find how many units you must sell to cover your costs.
Results update as you type.
About this calculator
The break-even point is the sales volume at which total revenue equals total costs, so profit is exactly zero. This break-even calculator divides your fixed costs by the contribution margin — the price minus the variable cost per unit — to give the break-even quantity and the revenue it brings in, a core figure for pricing and business planning.
The formula is break-even units = fixed costs ÷ (price − variable cost). For example, with 10,000 of fixed costs, a 25 price and 15 of variable cost per unit, the contribution margin is 10, so you must sell 1,000 units to break even, generating 25,000 in revenue. Every unit sold beyond that adds 10 of profit; every unit short leaves fixed costs uncovered.
Use it to set a sales target for a new product, to test whether a price covers your costs, or to see how cutting fixed overhead or raising the margin lowers the volume you need. It assumes a single product with steady costs, so treat it as a planning baseline rather than an exact forecast.
Frequently asked questions
What is the break-even formula?
Break-even units = fixed costs ÷ (price − variable cost per unit). The denominator is the contribution margin — the profit each unit adds toward covering fixed costs.
What if price is below variable cost?
Then every sale loses money and you can never break even at that price — the contribution margin is zero or negative. You must raise the price or cut the variable cost per unit first.
What is the contribution margin?
It is the price of a unit minus its variable cost — the amount each sale contributes toward covering fixed costs and then profit. In the example, a 25 price and 15 variable cost give a 10 contribution margin, so every unit chips 10 off the 10,000 of fixed costs.
How do I lower my break-even point?
Three levers: raise the price, cut the variable cost per unit, or reduce fixed overhead. Any of these shrinks the units you must sell — for instance, trimming fixed costs from 10,000 to 8,000 drops the break-even from 1,000 to 800 units at the same margin.
What is the difference between fixed and variable costs?
Fixed costs — rent, salaries, insurance — stay the same no matter how much you sell. Variable costs — materials, packaging, per-unit shipping — rise with each unit made. The break-even formula relies on this split, so classify each cost correctly.
How do I find the break-even in sales revenue instead of units?
Multiply the break-even units by the price, which this tool shows as break-even revenue. Alternatively divide fixed costs by the contribution-margin ratio (margin ÷ price); here 10,000 ÷ (10 ÷ 25) equals 25,000 in sales.
API — use this calculator from code
Call this calculator as a free JSON endpoint — no key required. Send the field values below as query parameters or JSON. Read the full API docs →
Endpoint
GET https://calculator.free/api/v1/break-even/curl
curl "https://calculator.free/api/v1/break-even/?fixed=10000&price=25&variable=15"JavaScript fetch()
const r = await fetch(
"https://calculator.free/api/v1/break-even/?" + new URLSearchParams({
"fixed": "10000",
"price": "25",
"variable": "15"
}));
const data = await r.json();
console.log(data.results);Results are estimates for general guidance only, not financial, medical or tax advice.