Business

Break-Even Calculator

Business

Break-Even Calculator

Business threshold

Product units threshold167 units30.00 contribution each · 8,350.00 sales needed.

8,350.00Sales required167Plain break-even30.00Contribution60.0%Margin rate

Formula: (5,000.00 fixed + 0.00 target) / 30.00 contribution = 166.67 exact units. Plain break-even is 167 units and 8,350.00 revenue.

Product unitsWhole sale count rounded upTax excluded

Fixed costsCosts that must be covered before unit profit matters, such as rent, tools, software, setup or campaign spend.Selling price per unitAverage selling price before tax. Use net revenue per sale if marketplace fees are already removed.Variable cost per unitCost that rises with each unit, such as materials, packaging, direct labour, shipping or platform fees.

Target profit

Target profitOptional profit goal above break-even. Leave at 0 for plain break-even.

Live result167 units30.00 contribution each · 8,350.00 sales needed.

Formula used

Contribution margin per unit = selling price − variable cost per unit. Break-even units = fixed costs ÷ contribution margin. Units for target profit = (fixed costs + target profit) ÷ contribution margin. Break-even revenue = rounded-up units × selling price.

This is the method behind the answer, so the result can be checked rather than simply trusted.

Live math canvas

Your numbers, formula and explanation together

Break-Even Calculator: 167 units to break even. 5,000.00 fixed costs divided by 30.00 contribution/unit = 166.67 exact units; practical target 167 units and 8,350.00 revenue.

Formula applied

The exact method behind this answer

CalculationTime keeps the method visible so the number can be checked instead of blindly trusted.

Contribution margin per unit = selling price − variable cost per unit. Break-even units = fixed costs ÷ contribution margin. Units for target profit = (fixed costs + target profit) ÷ contribution margin. Break-even revenue = rounded-up units × selling price.

Apply the formulaContribution margin per unit = selling price − variable cost per unit. Break-even units = fixed costs ÷ contribution margin. Units for target profit = (fixed costs + target profit) ÷ contribution margin. Break-even revenue = rounded-up units × selling price.167 units to break even5,000.00 fixed costs divided by 30.00 contribution/unit = 166.67 exact units; practical target 167 units and 8,350.00 revenue.

Your live breakdown

Current inputs in the calculation

These values come from the controls above and update when the calculator changes.

Fixed costs: 5,000 currency
Selling price per unit: 50 currency
Variable cost per unit: 20 currency
Target profit: 0 optional currency

Resulting answer

167 units to break even

5,000.00 fixed costs divided by 30.00 contribution/unit = 166.67 exact units; practical target 167 units and 8,350.00 revenue.

Answer: 167 units to break even
Live support: 5,000.00 fixed costs divided by 30.00 contribution/unit = 166.67 exact units; practical target 167 units and 8,350.00 revenue.

Assumptions used

What this answer assumes

Whole-unit planning target. If contribution margin is zero or negative, break-even is impossible at the entered price and cost.

Selling price and variable cost per unit are treated as averages that stay constant across the range being checked.
Fixed costs are the costs that must be recovered before profit is counted.
The practical sales count is rounded up to a whole unit because most products or jobs cannot be sold in fractions.
Tax, VAT/GST, discounts, refunds, payment fees, stockouts and capacity limits are not included unless you include them in price or variable cost.

Master’s Tip

How to use the result well

Master’s Tip: use contribution margin after real per-sale costs, not just material cost. Marketplace fees, card fees, packaging, freight subsidies, refunds and labour can turn an apparently safe break-even point into a loss.

Printable record

What belongs in the saved calculation

Save the inputs, result, formula, assumptions, page URL and date together so the calculation can be reviewed later.

Fixed costs: 5,000 currency
Selling price per unit: 50 currency
Variable cost per unit: 20 currency
Target profit: 0 optional currency

Visual grid

This number is one point on a larger pattern

Break-Even is not just a final answer. It is a step on a line: before and after, input and output, assumption and result.

Micro-timehours, minutes, shiftsHuman scaledays, weeks, projectsMacro-timemonths, years, calendars

InputFormulaResult

167 units to break even

CalculationTime keeps the path visible: the input, the method and the final number belong together.

167 units to break even5,000.00 fixed costs divided by 30.00 contribution/unit = 166.67 exact units; practical target 167 units and 8,350.00 revenue.

Inputs

Fixed costs: 5,000 currency
Selling price per unit: 50 currency
Variable cost per unit: 20 currency
Target profit: 0 optional currency

Method

Fixed costs of 5,000 divided by a 30 contribution margin gives 166.67 units. Because you cannot normally sell 0.67 of a unit, the practical target is 167 units. At 50 per unit, that is 8,350 revenue before tax or other adjustments.

Assumptions

Selling price and variable cost per unit are treated as averages that stay constant across the range being checked.
Fixed costs are the costs that must be recovered before profit is counted.
The practical sales count is rounded up to a whole unit because most products or jobs cannot be sold in fractions.
Tax, VAT/GST, discounts, refunds, payment fees, stockouts and capacity limits are not included unless you include them in price or variable cost.

Notes

Use this space on the printed report for client, supplier, classroom, job-location, measurement, quote or approval notes.