Breakeven Calculator
Find how many units you must sell to cover fixed costs.
How to use this tool
- Enter fixed costs per period.
- Enter selling price and variable cost per unit.
- Calculate breakeven units and revenue.
- View contribution margin and margin %.
How it works
Contribution = price - variable cost. Breakeven units = fixed costs / contribution. Revenue = units x price.
Tips
- Lower fixed costs (not price) is usually the fastest path to breakeven.
- Re-run after any price change — breakeven moves fast.
- Include recurring overhead like rent and subscriptions in fixed costs.
Limitations
Assumes linear costs and prices; real-world pricing breaks become non-linear.
Frequently asked questions
What is the contribution margin?
Selling price - variable cost per unit. Every unit sold contributes that much toward fixed costs.
How is breakeven units found?
Breakeven = fixed costs / contribution margin per unit. Sell more and you're profitable.
Can I see revenue breakeven?
Yes — multiply breakeven units by price for the revenue you need.