Break-Even Point Calculator
Break-Even Analysis: Determine units needed to cover fixed costs.. Free, no account needed – works offline.
Break-Even Analysis
Business
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How the Break-Even Analysis Works
Break-even analysis divides fixed costs by contribution margin per unit (price - variable cost). The result is units to sell to reach zero profit. Also shows current profit/loss.
Fixed costs $5,000, price $50, variable cost $30 → margin $20. Break-even = 250 units. At 300 units, profit = $1,000.
Common Mistakes
- Mixed costs not split correctly:
- Assuming fixed costs never change:
- Not adjusting for discounts:
Frequently Asked Questions
What is a good break-even point?
A lower break-even means faster profitability. Many startups aim for 6–12 months.
How can I lower it?
Reduce fixed costs, increase price, or lower variable cost.