Break-Even Calculator
Calculate the whole units and approximate revenue required for unit contribution to cover entered fixed business costs.
Calculate a break-even quantity
How this tool works
Break-even quantity identifies when total unit contribution covers fixed costs under a simple single-product model. The calculator rounds upward because selling a fraction of a normal unit would not completely recover the fixed amount.
Contribution per unit equals selling price minus variable cost. Break-even units equal fixed costs divided by contribution, rounded up to the next whole unit.
How to use it
- Enter fixed costs for the evaluated period.
- Enter selling price and variable cost for one unit.
- Review required whole units, contribution per unit, and estimated break-even revenue.
Worked examples
Product launch
- Input
- Fixed cost 12,000, price 50, variable cost 30
- Output
- 600 units
Each unit contributes 20 toward fixed costs. Dividing 12,000 by that contribution requires 600 units before operating profit begins.
Small event
- Input
- Fixed cost 1,000, price 25, variable cost 10
- Output
- 67 units
Contribution is 15 per sale. The exact quotient is 66.67, so the result rounds upward to 67 whole units to fully cover fixed costs.
Limitations
- The model assumes constant price, variable cost, and sales mix.
- It excludes taxes, capacity constraints, demand changes, and step-fixed costs.