Break-even calculator: when do you start making a profit?
The break-even point is the number of units you must sell to cover all your fixed costs, so you neither make a profit nor a loss. Enter what you pay every month however much you sell, the selling price of a unit and what a unit costs you, and you see how many units you need and the revenue at that point. Add a target number of units to see the profit or loss there. Everything is worked out in your browser.
Enter the fixed costs, price and cost to see the result.
How break-even is worked out
The profit on one unit is the selling price minus its cost. Divide the fixed monthly costs by that profit to get the number of units, rounded up to a whole unit because you cannot sell half of one. The revenue at break-even is that number times the selling price.
What if the price is below the cost
Then there is no break-even point, because every sale adds to the loss. The calculator shows a message instead of a number. Raise the price, lower the cost of a unit, or look at your costs before you sell more.
Common questions
What counts as a fixed cost?
What you pay each month whether you sell or not, such as rent, wages, power and subscriptions. The cost of the goods themselves is not fixed; it goes into the cost per unit.
Do I calculate per product or for the whole shop?
It works for one kind of unit. For a business with many products, use the average price and average cost per unit, or use the monthly profit tool, which starts from your overall margin.
Is anything saved?
No. The whole calculation runs in your browser and nothing leaves your device.
More free tools
- Profit margin calculatorProfit margin and markup from cost and price, or the price for a target margin or markup.
- Percentage calculatorX% of a number, what percent, percent change, and a price after a raise or discount.
- Profit calculatorGross and net profit for the month and per day, and the sales that break even.
- Discount calculatorThe sale price after a percentage off, and the profit the discount costs you.