Break Even Calculator

Calculate your break-even point - the point where total revenue equals total costs. Essential for business planning and pricing decisions.

Cost Information

$
Rent, salaries, insurance
$
Materials, labor per unit
$

Break-Even Analysis

Break-Even Units 0
Break-Even Revenue $0
Contribution Margin $0
Contribution Margin % 0%

At Break-Even Point

Units Sold 0
Revenue $0
Fixed Costs $0
Variable Costs $0
Total Costs $0
Net Profit $0

Profit at Different Sales Levels

Units SoldRevenueTotal CostProfit/Loss

What is Break-Even Analysis?

Break-even analysis determines the point at which total revenue equals total costs. Below this point, you lose money; above it, you make a profit.

Formula: Break-Even Units = Fixed Costs รท (Price - Variable Cost)

Understanding the Components

  • Fixed Costs: Costs that don't change with production (rent, salaries)
  • Variable Costs: Costs per unit produced (materials, direct labor)
  • Contribution Margin: Price minus variable cost - what contributes to covering fixed costs