Break-Even Calculator
How many units you must sell to cover your fixed costs, from price and variable cost.
- Contribution margin per unit$10.00
- Break-even units500
- Revenue at break-even$12,500.00
Inputs used
- Fixed costs$5,000.00
- Price per unit$25.00
- Variable cost per unit$15.00
About this calculator
Every unit sold contributes its price minus its variable cost toward covering fixed costs; that difference is the contribution margin. Break-even is simply fixed costs divided by contribution margin, rounded up to whole units — the point where total contribution first covers rent, salaries, tooling and everything else that doesn't scale with volume.
If the result looks unreachable, there are only three levers: raise the price, cut the variable cost per unit, or cut fixed costs. Small price changes are usually the most powerful, because every cent goes straight into the margin.
The price must exceed the variable cost per unit — if each sale loses money, no volume can break even and the calculator will report an error.
Results are informational only — not financial, medical or legal advice.