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The break-even point is the quantity at which a product covers its fixed costs and turns a profit. From the fixed costs, the selling price and the variable cost per unit this calculator shows three figures: the contribution margin per unit, the break-even quantity in units and the break-even revenue. So you can see how many units you must sell at the least before an offer, a product idea or an investment pays off.
The calculation runs entirely locally in your browser, in pure JavaScript - nothing is uploaded and nothing is stored. The contribution margin per unit is the selling price minus the variable cost - the amount each sold unit contributes to covering the fixed costs. The break-even quantity is fixed costs divided by the contribution margin, the break-even revenue is that quantity times the selling price. If the price is below the variable cost there is no break-even point. Change an input and everything updates instantly.
An honest note: this is a single-stage contribution-margin calculation with one product and constant prices and costs. Quantity discounts, a product mix, step-fixed costs or value-added tax are not modelled - for net and gross use the VAT calculator, for the margin the margin calculator. Amounts are in euros as an example; the maths applies to any currency.
The formula behind it is deliberately plain: break-even = fixed costs divided by the contribution per unit (price minus variable cost). Beyond that quantity, every additional unit sold adds exactly its contribution as profit - and the gap between your planned volume and the break-even point is your safety cushion if sales soften.
Specifications
Specifications
Input formats
Form inputs (no file)
Processing
Locally in your browser (JavaScript)
File upload
None
In 3 steps
Enter the fixed costs.
Enter the selling price and variable cost per unit.
Read off the contribution margin, break-even units and revenue.
Limitations: A single-stage contribution-margin calculation with one product and constant prices/costs; quantity discounts, product mix, step-fixed costs and VAT are not modelled. For net/gross use the VAT calculator. Amounts in euros as an example - the maths applies to any currency.
FAQ
Are my inputs uploaded?
No. The calculation runs entirely locally in the browser (pure JavaScript); nothing is sent or stored.
What is the contribution margin?
The selling price minus the variable cost per unit. It is the amount each sold unit contributes to covering the fixed costs and then to profit.
How is the break-even quantity calculated?
Fixed costs divided by the contribution margin per unit. Example: 10000 fixed costs and a margin of 20 give 500 units.
What if the price is below the variable cost?
Then the contribution margin is negative and there is no break-even point - every unit sold increases the loss.