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Break-Even Units Calculator

Calculate whole-unit break-even and target-profit volumes, projected operating profit and unit-economics feasibility.

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Estimate single-product whole-unit break-even and target-profit volumes from period fixed costs and unit contribution. See projected operating profit and whether the unit economics support the target.

Enter your business figures

Rent, fixed salaries and other entered operating costs for the same period as projected sales. Split mixed expenses and avoid double-counting.

After expected unit discounts/reversals, excluding collected taxes and duties. Use one product or a documented constant equivalent-unit mix.

Include product cost, variable fulfillment, fees and allocated variable selling/return costs consistently. Not total costs for the whole period.

Additional desired operating profit after the entered fixed costs. Enter 0 if only comparing break-even.

Whole net sold units in the same planning period. This is your scenario, not a demand forecast; zero volume is allowed.

Each successful calculation uses one of this tool’s 8 daily free uses. Editing, resetting and invalid inputs use none. Your figures remain in your browser.

Worked example

Example output from the starting values. Enter your figures and press Calculate for your result.

Contribution per unit
30 currency units/unit
Contribution margin ratio
60 %
Break-even whole units
100 units/period
Whole units for target operating profit
150 units/period
Projected product revenue
7,500 currency units/period
Projected variable costs
3,000 currency units/period
Projected operating profit
1,500 currency units/period
Projected units above / below break-even
50 units
Model feasibility
Positive contribution — whole-unit thresholds calculated

Calculate your figures to enable a brand-free CSV download.

Formula

Contribution per unit = net unit price − variable unit cost. Break-even whole units = ceiling(fixed costs ÷ positive unit contribution). Whole units for target operating profit = ceiling((fixed costs + target profit) ÷ positive unit contribution). Projected operating profit = unit contribution × projected units − fixed costs. Required indivisible units round upward; nonpositive contribution cannot support a positive finite cost/profit requirement.

How to use this calculation

The accounting reference uses 3,000 period fixed costs, price 50 and variable cost 20 per unit. Contribution is 30 per unit, so 100 units cover the entered costs. For 1,500 target operating profit, 150 units are needed. At 150 units the model produces 7,500 revenue, 3,000 variable costs and 1,500 operating profit after the fixed costs. Decimal prices are not arbitrarily rounded to cents before calculating the whole-unit threshold.

  • Use one currency, one period and a consistent product/unit basis. Fixed costs apply to the entire period; price and variable cost apply per net sold unit. The model assumes constant unit economics and fixed costs within the relevant operating range. Step costs, capacity constraints, quantity discounts and changing sales mix can change the result; do not combine different products without a defensible equivalent-unit contribution.
  • Positive unit contribution supports a finite required volume, rounded up to whole units. With nonpositive contribution and positive fixed costs, sales at unchanged unit economics cannot reach break-even. With zero fixed costs, zero sales can meet zero profit; zero contribution breaks even at every volume, while negative contribution makes positive-volume sales lose money. A positive target remains unattainable with nonpositive contribution. Negative scenario profit is a valid loss, not an error.
  • These are planning scenarios, not proof of achievable demand, automatic pricing advice or guaranteed net profit. Operating profit excludes financing, income tax, non-operating items and unentered costs. Net selling price and variable costs must consistently reflect returns and discounts, without subtracting them again. Required and projected whole-unit counts must fit the supported range; infeasible targets are labelled rather than displayed as negative unit requirements or Infinity.

Formula reference: AccountingCoach: Break-even units and desired-profit volume. General planning information, not a guarantee of business results.

Review contribution and operating profit on an order basis

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