Free calculator
How many sales before you make a penny?
The number of units that covers your fixed costs — and what happens when the maths says never.
The formula
Break-even units = fixed costs ÷ (price per unit − variable cost per unit), rounded up to a whole unit
Worked example
| Input | Value |
|---|---|
| Fixed costs (per period) | $5,000.00 |
| Price per unit | $50.00 |
| Variable cost per unit | $20.00 |
| Output | Value |
|---|---|
| Revenue at break-even | $8,350.00 |
| Contribution per unit | $30.00 |
| Margin on each sale | 60% |
Things worth knowing
- The bracket (price − variable cost) is your contribution per sale. If it is zero or negative, no volume saves you.
- Rounding up matters: 166.7 units means you need 167 sales, not 166.
Related
These are arithmetic tools, not financial advice. Currency symbols are for display only — the maths is currency-agnostic. Last reviewed: 2026-10-27.