Break-even Calculator
At what sales volume do you cover all fixed costs? Answer + scenarios.
Break-even Calculator
How many units must you sell to cover fixed costs? Live answer.
| Units sold | Revenue | Variable costs | Profit |
|---|
What is break-even?
The break-even point is the sales volume at which revenue exactly covers all costs (fixed + variable). Below it, you lose money. Above it, you generate profit.
Formula
Break-even (units) = Fixed costs ÷ (Price − Variable cost per unit)
(Price − Variable cost) is called contribution margin or unit contribution.
Fixed vs variable costs
- Fixed: rent, salaries, insurance, software, internet — don't vary with volume
- Variable: raw materials, direct labour, commissions, card fees — proportional to volume sold
Forge Tech shows break-even live
Forge Tech's BI dashboard (Enterprise) calculates monthly break-even in real time and shows you how many sales remain before turning profitable.