Break-even Calculator

Currency Symbol

Fixed Costs (Total)

Variable Cost (per unit)

Selling Price (per unit)

Current Sales Units (Optional - for Margin of Safety)

Formula: BEP Units = Fixed Costs / (Selling Price - Variable Cost per unit)

Examples

What is a Break-even Point?

It is the point where total revenue equals total costs. You are making neither a profit nor a loss.

What are fixed costs?

Expenses that don't change based on how much you produce, like rent, insurance, or salaries.

What is Contribution Margin?

It's the Selling Price minus the Variable Cost per unit. It represents how much each unit sold contributes to paying off fixed costs.

What is Margin of Safety?

It indicates how much sales can drop before the business reaches its break-even point and starts losing money.