Break-Even Calculator
Find how many sales you need each month before you start making a profit. Estimate only
How it works
How to use the break-even
Your break-even point is where sales exactly cover costs. Fixed costs (rent, salaries, loan EMIs, software) stay the same however much you sell. Variable costs (materials, packaging, delivery, payment fees) rise with every unit. Each sale contributes its price minus its variable cost towards the fixed costs; that's the contribution per unit.
Break-even units = fixed costs ÷ contribution per unit. With ₹60,000 fixed costs, a ₹250 price and ₹150 variable cost, each sale contributes ₹100, so you need 600 sales a month, about 24 per working day. Add a profit target to see how many more you need to earn it.
Use this before launching a product, opening a shop or setting prices. If the number looks too high, try a higher price, lower variable costs or lower fixed costs and watch how quickly it changes.
- Enter your fixed monthly costs.
- Enter the selling price and variable cost per unit.
- Optionally add a profit target and working days.
- Read the break-even units, sales and daily target.
FAQ
Questions about this tool
What counts as a fixed cost?
Costs that don't change with sales volume in the short term, like rent, salaries, subscriptions and loan EMIs.
What if my price is below variable cost?
Then every sale loses money and you can never break even. Raise the price or cut variable costs.
Can I use it for services?
Yes. Treat one project, session or hour as a unit.
Does it include tax?
No. Use prices and costs before GST and income tax.
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