Find your break-even point — the number of units you must sell to cover all costs — plus the contribution margin that drives your profitability.
How it works
- Detail your total fixed overhead costs.
- Enter the unit selling price and the variable cost to produce one unit.
- The engine divides fixed costs by contribution margin to output your break-even units.
Frequently asked questions
What is contribution margin?
Price minus variable cost per unit — the amount each sale contributes to covering fixed costs, then profit.
What are fixed vs variable costs?
Fixed costs (rent, salaries) stay constant; variable costs (materials, shipping) rise with each unit sold.
Why does break-even matter?
It tells you the minimum sales to avoid a loss — essential for pricing and planning.