Break-Even Units Calculator
Enter your fixed costs, selling price and variable cost per unit to find your break-even point in units and revenue.
Break-Even Units Calculator
Calculates the number of units you need to sell to cover fixed costs, based on price and variable cost per unit.
This calculator uses the standard break-even formula: fixed costs divided by contribution margin per unit (selling price minus variable cost), which tells you exactly how many units must be sold before the business covers its fixed costs and starts generating profit. It also converts that unit count into a break-even revenue figure. This is foundational for pricing decisions, new product launches, and any scenario where you need to know the minimum viable sales volume.
Example
- With the default values shown above, this calculator returns: Contribution Margin per Unit ≈ $25; Break-Even Units ≈ 800 units; Break-Even Revenue ≈ $36000.
Frequently Asked Questions
What is contribution margin?
It's the amount each unit sold contributes toward covering fixed costs after variable costs are subtracted — price per unit minus variable cost per unit.
What happens if my contribution margin is very small or negative?
A small contribution margin means you need to sell a very large number of units to break even, and a negative margin (selling below variable cost) means you can never break even no matter how many units you sell — you'd need to raise price or cut variable costs first.
Sources
- Standard formula, publicly documented method