Break-even Calculator
How many sales you need each month and day
Costs & Price (per month)
Rent, salaries, utilities, loan payments
Materials, packaging, card fees
Break-even units per month
3,429 units
Break-even sales 17,142.86 · per day 115 units
Contribution margin per unit3.50
Contribution margin ratio70.0%
Break-even sales17,142.86
Per day-
Units for target profit-
Profit by Sales Volume
| Units / month | Revenue | Profit |
|---|
The bold row is break-even. Every extra unit sold above it adds one contribution margin to profit.
Break-even by Price (example)
| Price | Units / month | Per day | CM ratio |
|---|---|---|---|
| 4.00 | 4,800 | 160 | 62% |
| 4.50 | 4,000 | 134 | 67% |
| 5.00 | 3,429 | 115 | 70% |
| 5.50 | 3,000 | 100 | 73% |
| 6.00 | 2,667 | 89 | 75% |
Fixed costs 12,000 a month, variable cost 1.50 per unit, open 30 days. A small price increase cuts the volume you need noticeably.
Formulas & Sources
- Break-even units = fixed costs ÷ (price − variable cost per unit), rounded up
- Break-even sales = fixed costs ÷ contribution margin ratio
- Units for target profit = (fixed costs + target profit) ÷ contribution margin · before tax
Last reviewed: 2026-10-19
FAQ
How do I calculate the break-even point?
Break-even units = fixed costs ÷ (price − variable cost per unit). With 12,000 of fixed costs and a 5.00 coffee costing 1.50 to make, you need 3,429 cups a month — 115 a day over 30 days.
What counts as fixed vs variable cost?
Fixed costs stay the same whatever you sell (rent, salaries, insurance). Variable costs come with each sale (ingredients, packaging, payment fees).
What is contribution margin?
Price minus variable cost per unit. Each sale contributes this amount toward fixed costs; above break-even it becomes profit.
How do I include a profit goal?
Enter a target profit. The calculator adds it to fixed costs to show how many units you need to sell to earn it.
How can I lower my break-even point?
Cut fixed costs, raise prices or reduce variable costs. A larger contribution margin lowers the break-even volume quickly.