Break-Even Calculator: Units and Revenue Needed

Your numbers

Fixed costs for the period

Rent, salaries, insurance, licences: costs that do not change with sales.

Selling price per unit

Before VAT.

Variable cost per unit

Goods, packaging, commission: costs that rise with each sale.

Profit you want (optional)

Units you expect to sell (optional)

For profit and margin of safety.

Result

Enter fixed costs, price and variable cost to see the break-even point.

How it is calculated

The working

Contribution per unit = selling price - variable cost per unit. (What each sale leaves to pay the fixed costs.)
Break-even units = fixed costs / contribution per unit, rounded up to a whole unit.
To aim for a profit: units = (fixed costs + target profit) / contribution per unit.
Break-even revenue = break-even units x selling price.
Margin of safety = (expected units - break-even units) / expected units. It shows how far sales can fall before you stop making a profit.

Sources

Standard cost-volume-profit analysis; no regulatory source applies.

Rules and rates change. Always confirm against the current official text.

Free lessons that explain it

From the free Zeyto Academy. No account needed.

Take the inputs from your books

Zeyto's profit and loss by month shows your real fixed costs and sales, so break-even runs on what happened, not on what you remember.

Try Zeyto free See the live demo See Break-Even, Pricing and Contribution Margin Lab: Mix, Profit Target and Price Sensitivity, AED 79

Related templates and tools on the marketplace

Startup Costs and Break-even Planner, AED 59Two planning tools in one Excel workbook: total your start-up costs and funding, and work out how many sales a month...

Cite this tool

Page: Break-even calculator
Publisher: Zeyto (Emeron Infospace FZE)
Address: https://zeyto.app/tools/break-even-calculator

Zeyto. "Break-even calculator", free tool, Emeron Infospace FZE. https://zeyto.app/tools/break-even-calculator

You are welcome to link to this page. Please do not pass the results on as advice: each page says what it covers and what it leaves out.

Questions

Common questions

What counts as a fixed cost?

A cost that stays the same whatever you sell in the period: rent, salaries, insurance, licences. Costs that rise with each unit sold, such as the goods themselves, packaging or sales commission, are variable costs.

What if the price is lower than the variable cost?

Then each sale loses money before fixed costs and there is no break-even. The calculator tells you so instead of showing a number.

Why are the units rounded up?

You cannot sell part of a unit, and selling one unit fewer than the exact figure leaves you slightly short of break-even.

Does it work for services?

Yes. Use an hour, a job or a visit as the unit, the price as what you charge for it, and the variable cost as what each one costs you to deliver.

What does it assume?

That price and variable cost per unit stay constant, and that you sell one product or an average mix. Real life moves, so treat it as a planning guide and re-run it when prices or costs change.

More free tools

Keep going

These tools are free templates and calculators. They are not tax, legal or accounting advice. See all free tools.