Break-even Calculator

Calculate break-even point, analyze margin of safety, and optimize your business profitability

Business Data

Revenue per unit sold

Direct costs per unit (materials, labor)

Rent, salaries, utilities, insurance

Current sales volume per month

Business Examples

Enter your business data to calculate break-even point and analyze profitability

Understanding Break-even Analysis

Key Concepts

Break-even Point

The point where total revenue equals total costs, resulting in zero profit or loss

Contribution Margin

Revenue per unit minus variable cost per unit - covers fixed costs and generates profit

Margin of Safety

The cushion between current sales and break-even point - indicates business risk level

Applications

Pricing Decisions
Set minimum prices to ensure profitability
Cost Management
Optimize fixed and variable cost structure
Sales Targets
Set realistic sales goals and profit targets
Business Planning
Evaluate business viability and growth strategies