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Break-Even Calculator

Find how many sales you need to cover fixed costs and start making a profit.

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What is break-even?

The break-even point is the sales volume where revenue equals total costs. Divide fixed costs by the profit per unit (price minus variable cost). Every unit beyond that is profit.

Using it

Test price changes, cut costs or increase volume to bring break-even down. It is a key number for any side business or startup.

Worked example

With $3,000 of fixed costs, a $40 price and $15 variable cost, each sale makes $25, so you break even at 120 units, or $4,800 of revenue.

Last reviewed November 2026. Formulas are standard and shown in the sections above; results are estimates.

Tips and common mistakes

Learn more

Frequently asked questions

What are fixed costs?

Costs that stay the same regardless of sales, such as rent or software.

What are variable costs?

Costs that grow with each sale, such as materials and fees.

Is break-even profit?

No, it is the zero-profit point.

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Results are estimates and not financial advice.