Calculate your break-even point — enter fixed costs, price per unit, and variable cost per unit to see how many units you need to sell to cover all costs. Results update live.
Frequently Asked Questions
How is break-even calculated?
Break-even units = Fixed costs ÷ (Price per unit − Variable cost per unit). Each unit sold above break-even generates profit equal to the contribution margin.
What are fixed vs. variable costs?
Fixed costs stay the same regardless of output (rent, salaries). Variable costs change with each unit produced (materials, shipping per item).
What if price equals variable cost?
If price per unit equals or is less than variable cost, you cannot break even — each sale loses money or covers nothing toward fixed costs.
Can I calculate profit margins too?
Yes. Use the Profit Margin Calculator to find margin and markup from revenue and cost.
Is this tool free and does it work on mobile?
Yes on both counts. The Break-Even Calculator on draft21 is completely free with no sign-up required and works on all devices.