Break Even Sales Calculator

Find the units and sales revenue where contribution margin covers fixed costs. Optional target profit shows the extra volume to earn that amount.

  • Units + sales
  • Contribution margin
  • Stays on your device

Numbers stay on this device. Nothing is uploaded, and there is no account.

A break even sales calculator answers a practical question: at this price, after variable cost, how many units — and how many sales dollars — cover the fixed costs of the period? Enter fixed costs, variable cost per unit, and selling price. The page is also the break even calculator and break-even point calculator; those aliases stay here.

Contribution margin is price minus variable cost. Divide fixed costs by that margin for exact break-even units, then ceil to a whole unit for the volume you actually have to sell. Sales revenue is that volume times price, which matches fixed costs divided by the contribution-margin ratio. An optional target profit is added to fixed costs before the same steps.

If price is at or below variable cost, there is no break-even — margin cannot cover fixed costs. Results are educational estimates, not accounting advice. Everything runs in your browser. Totals never leave the device, and there is no account.

Browse more calculators on the Finance hub, or open the monthly budget template, VAT number validator, real estate commission calculator, or 403b calculator. For campaign URLs, use the UTM builder.

How to use the break even sales calculator

  1. Enter total fixed costs for the period.
  2. Enter variable cost per unit and selling price per unit.
  3. Optionally enter a target profit to see units and sales beyond break-even.
  4. Read contribution margin, whole break-even units, exact units, and sales revenue.
  5. If price is not above variable cost, raise price or lower variable cost — there is no finite break-even.

Frequently asked questions

What does break-even sales mean?

Break-even sales is the revenue (or unit volume) where total contribution margin exactly covers fixed costs and profit is zero. Sell one more unit and you start earning; sell fewer and you still lose money. This page reports both whole units and the matching sales dollars.

What is the difference between fixed and variable costs?

Fixed costs stay the same in the period no matter how many units you sell — rent, salaried payroll, insurance, software. Variable costs rise with each unit — materials, piece-rate labor, shipping, payment fees. Break-even math needs both: fixed costs in the numerator, and price minus variable cost per unit in the denominator.

What is contribution margin?

Contribution margin per unit is selling price minus variable cost per unit — the cash each sale leaves to cover fixed costs and then profit. Contribution margin percent is that amount divided by price. A $20 price and $12 variable cost is an $8 margin, or 40%.

How does the break-even sales formula work?

Break-even units = fixed costs ÷ contribution margin per unit. Break-even sales = break-even units × price, which is the same as fixed costs ÷ contribution margin ratio. This calculator ceils units to a whole number (you cannot sell a fraction of a unit) and also shows the exact figure. Add an optional target profit to the fixed-cost numerator to see units and revenue for that profit.

Is this the same as a break even calculator or break-even point calculator?

Yes. People also search for break even calculator and break-even point calculator. Those names all point at this same break even sales calculator page. There is no second URL for those aliases.

What if price is less than or equal to variable cost?

Then contribution margin is zero or negative, and there is no break-even — extra sales cannot cover fixed costs, so the unit result is infinite. Raise the price, lower variable cost, or both before the formula can return a finite volume.

Does this break even sales calculator upload my numbers?

No. Fixed costs, variable cost, price, and optional target profit are calculated in your browser. Nothing is sent to a server or stored on our side.