Break-even Calculator – Free Online Utility

Find out exactly how many units you need to sell to break even.

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Break-Even Units

1,667 units

Break-Even Revenue

₹83,333.33

Contribution Margin (Per Unit)₹30

What is a Break-Even Calculator?

A break-even calculator is an essential business tool that determines the point at which your total revenue equals your total costs. At this point, your business makes no profit or loss. Any sales made beyond the break-even point will generate profit.

Fixed Costs vs. Variable Costs

Fixed Costs are expenses that remain constant regardless of how many units you produce (e.g., rent, insurance, salaries). Variable Costs are expenses that change in direct proportion to the volume of units produced (e.g., raw materials, packaging, shipping). The difference between the selling price and variable cost per unit is called the Contribution Margin, which goes towards covering fixed costs.

Frequently Asked Questions

The break-even point is the level of production or sales volume at which total revenues equal total costs. At this point, the business makes neither a profit nor a loss.
Break-Even Units = Fixed Costs / (Price per Unit - Variable Cost per Unit). Break-Even Revenue is then the Break-Even Units multiplied by the Price per Unit.
Contribution margin is the selling price per unit minus the variable cost per unit. It represents the portion of sales revenue that is not consumed by variable costs and so contributes to the coverage of fixed costs.

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