What is contribution margin?

Contribution margin = selling price minus variable cost per unit. It's the amount each unit contributes to covering fixed costs and profit.

What is the break-even formula?

Break-even units = Fixed Costs ÷ Contribution Margin. Break-even revenue = Break-even units × Price per unit.

Break-Even Calculator

Quick answer: Enter fixed costs, price, and variable cost to find your break-even point.

Calculate the exact number of units and revenue needed to cover all costs and start making profit. Enter your fixed costs, price per unit, and variable cost per unit to instantly see break-even units, break-even revenue, contribution margin, and profit targets.

Last reviewed: April 2026Report an error

Total Fixed Costs ($)

Price Per Unit ($)

Variable Cost Per Unit ($)

Break-Even Units

333 units

Sell 333 units ($16,667 revenue) to cover costs. Contribution margin: $30/unit (60.0%).

Break-Even Revenue

$16,667

For $10K Profit

667 units

For $50K Profit

2,000 units

For $100K Profit

3,667 units

How to Use This Break-Even Calculator

1Enter total fixed costs per period (rent, salaries, insurance, etc.).
2Enter your selling price per unit.
3Enter variable cost per unit (materials, direct labor, etc.).
4Read break-even units, break-even revenue, and contribution margin.

Frequently Asked Questions

: Contribution margin = selling price minus variable cost per unit. It's the amount each unit contributes to covering fixed costs and profit.
: Break-even units = Fixed Costs ÷ Contribution Margin. Break-even revenue = Break-even units × Price per unit.

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Break-Even Calculator

How to Use This Break-Even Calculator

Frequently Asked Questions

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