Online Tool Store
Break Even Calculator
Calculate break-even units and revenue, contribution margin, target-profit volume, expected profit, and margin of safety from your costs.
🔒 This tool runs entirely in your browser. Your files are never uploaded to a server.
Break-even point
$32,016 break-even revenue
- Contribution / unit
- $27.00
- Contribution ratio
- 56.25%
- Units for target profit
- 1,112
- Profit at expected sales
- $14,400
- Margin of safety
- 44.42%
Price sensitivity
| Selling price | Contribution | Break-even units |
|---|
Example product breaks even at 667 units.
How to calculate a break-even point
- Enter fixed costs, selling price, and variable cost per unit for the same period.
- Add a target profit and expected unit volume for planning context.
- Review break-even units/revenue, contribution margin, target volume, profit, and price sensitivity.
Cost-volume-profit formulas
Break-even units = fixed costs ÷ (price per unit − variable cost per unit). Target-profit units add the desired profit to fixed costs before dividing. Margin of safety compares expected units above break-even with total expected units. These formulas assume constant price, unit cost, and sales mix across the modeled range.
FAQ
What is the break-even point?
It is the sales volume where total revenue equals fixed plus variable costs, producing neither profit nor loss.
What is contribution margin per unit?
Selling price minus variable cost per unit. Each unit’s contribution first covers fixed costs, then contributes to profit after break-even.
Why are break-even units rounded up?
You generally cannot sell a fraction of a unit, and rounding down would leave part of the fixed costs uncovered.
What is margin of safety?
It measures how far expected sales exceed break-even sales as a percentage of expected sales. A zero value means expected sales do not exceed break-even.
Does this include taxes or financing costs?
Only when you include them appropriately in fixed or variable costs. The calculator does not infer tax, debt, cash-flow timing, or product-mix effects.
How we compare
| Feature | Online Tool Store | SBA Break-even Calculator | Pearson Break-even Calculator |
|---|---|---|---|
| Break-even units and revenue | Included | Included | Included |
| Target-profit volume | Included | Core break-even focus | Analysis outputs |
| Margin of safety and sensitivity | Included | Planning calculator | Chart and margin of safety |
| Official business-planning guidance | Method notes | Included | Educational detail |
Use the U.S. SBA resource for official small-business planning context or Pearson for a fuller educational chart. Choose Online Tool Store for a compact private model with target profit, expected profit, safety margin, and price sensitivity together.