Break-Even Calculator
Calculate the sales volume needed to cover all costs
Cost Details
Break-Even Results
Disclaimer
These calculations are for informational purposes only. Actual break-even points may vary based on market conditions, seasonal variations, and other business factors. Please consult with business advisors for comprehensive analysis.
What is Break-Even Analysis?
Break-even analysis is a financial calculation that determines the point at which total revenue equals total costs, resulting in neither profit nor loss. It helps businesses understand the minimum sales volume needed to cover all expenses.
Our calculator computes both the break-even point in units and revenue, along with contribution margin analysis to help you make informed business decisions.
Break-Even Formula
Frequently Asked Questions
What are fixed costs?
Fixed costs are expenses that remain constant regardless of production volume, such as rent, salaries, insurance, and equipment depreciation.
What are variable costs?
Variable costs change directly with production volume, including raw materials, direct labor, packaging, and shipping costs.
How can I reduce my break-even point?
Reduce fixed costs, lower variable costs per unit, increase selling price, or improve product mix to focus on higher-margin items.