Break-Even Calculator
Find how many units you need to sell to cover your fixed costs, or to make the profit you want, from your selling price and the cost of each unit.
Costs you pay whatever you sell, for the period you're planning (e.g. a month).
Materials, packaging, delivery: what each extra sale costs you.
Leave at 0 to break even. Enter a profit for the same period to see how many you need to sell to make it.
Units to break even
500 units
- Sales to break even
- Rs 750,000
- Contribution per unit
- Rs 600
- Contribution margin
- 40%
Each sale leaves Rs 600 towards your fixed costs, so you need 500 sales (Rs 750,000) to cover Rs 300,000. Every sale after that is profit.
How it's worked out
- What each sale contributes
Rs 1,500 − Rs 900Rs 600 - Units to cover fixed costs
Rs 300,000 ÷ Rs 600500 - Rounded up to whole units500
The formula
Break-even units = fixed costs ÷ (price per unit − cost per unit)
Worked example
A shop with Rs 300,000 of monthly fixed costs sells an item for Rs 1,500 that costs Rs 900. Each sale contributes Rs 600, so it needs 300,000 ÷ 600 = 500 sales (Rs 750,000) a month to break even.
Questions people ask
What is the break-even point?
The number of sales at which your income exactly covers your costs. Below it you lose money; above it each sale adds profit.
What counts as a fixed cost?
Costs you pay whatever you sell: rent, salaries and software subscriptions. Materials and delivery for each sale are variable costs.
How many do I need to sell to make a set profit?
Enter the profit you want. The calculator adds it to your fixed costs and divides by what each sale contributes: with Rs 300,000 of fixed costs, a Rs 200,000 profit target and Rs 600 contributed per sale, that's 834 units.
How do I lower my break-even point?
Raise your price, cut the cost per unit, or reduce fixed costs. Use Compare scenarios to see the effect of each.
About this calculator
Formula and rules last checked 25 October 2026Written and tested by the CalculatorDex teamReport a problem