Break-Even Calculator
Find how many units you must sell to cover your costs — and how many to reach a target profit.
Runs in your browser — your data never leaves your device.
About the Break-Even Calculator
Before starting a product or a shop, you need to know how much you must sell just to avoid a loss. That level is the break-even point. Everything you sell above it is profit.
Enter your monthly fixed costs (rent, salaries, bills), your selling price and the variable cost of each unit (materials, packaging, delivery). Add a target profit to see the sales needed to reach it.
How to use the Break-Even Calculator
- Enter fixed costs for the period, for example one month.
- Enter the selling price per unit and the variable cost per unit.
- Optionally enter a target profit.
- Click Calculate break-even.
Formula
Contribution per unit = price − variable cost.
Break-even units = fixed costs ÷ contribution per unit (rounded up).
Break-even sales = break-even units × price.
Units for a target profit = (fixed costs + target profit) ÷ contribution per unit.
Contribution margin = contribution ÷ price × 100.
Examples
- Fixed costs Rs 150,000 a month, price Rs 500, variable cost Rs 300 → contribution Rs 200 → 750 units (Rs 375,000 in sales) to break even.
- To earn Rs 50,000 profit: (150,000 + 50,000) ÷ 200 = 1,000 units.
Frequently asked questions
What counts as a fixed cost?
Costs that do not change with how much you sell: rent, fixed salaries, internet, software subscriptions, loan instalments.
What if the price is lower than the variable cost?
Then every sale loses money and there is no break-even point. Raise the price or reduce the cost per unit.