B/E

Break-Even Calculator

Find how many units you need to sell to cover your fixed costs - and your margin of safety beyond that.

Overview

About this calculator

Break-even analysis tells you the exact sales volume where revenue stops being eaten by fixed costs. Enter your fixed costs, selling price, and variable cost per unit to see your break-even point and, if you add current sales, your margin of safety.

Good to know

Frequently asked questions

What counts as a fixed cost vs a variable cost?

Fixed costs don't change with sales volume - rent, salaries, software subscriptions. Variable costs scale with each unit sold - materials, packaging, per-unit shipping, payment processing fees.

What's contribution margin?

It's the selling price minus the variable cost per unit - the amount each sale contributes toward covering fixed costs (and, beyond break-even, toward profit).

What's margin of safety?

The gap between your current (or expected) sales and your break-even point - it tells you how far sales can drop before you stop being profitable.

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