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Break-Even Calculator
Find the units or revenue needed to cover fixed and variable costs in your business.
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Break-Even Calculator
Enter your values below to get an instant, accurate result.
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⚠️ Results are estimates for informational purposes only. Actual figures may vary. Read Disclaimer
How Is the Break-Even Point Calculated?
Break-Even Units = Fixed Costs / (Sale Price − Variable Cost per Unit)
Variable Definitions
- Fixed Costs
- Costs that remain constant regardless of output (rent, salaries, etc.)
- Sale Price
- Revenue received per unit sold
- Variable Cost
- Costs that vary directly with output (materials, labour, etc.)
- Contribution Margin
- Sale Price − Variable Cost per Unit
- Break-Even Revenue
- Break-Even Units × Sale Price
💡 The break-even point is where total revenue equals total costs — no profit, no loss. Selling beyond this point generates profit; below it generates a loss.
Frequently Asked Questions — Break-even Calculator
A typical monthly mortgage payment consists of four components, often called PITI: Principal (the portion that reduces your loan balance), Interest (the cost of borrowing), property Taxes (collected monthly and held in escrow), and homeowner's Insurance (also held in escrow). Some loans also require Private Mortgage Insurance (PMI) if your down payment is less than 20%.
A larger down payment reduces your loan amount, which lowers both your monthly payment and the total interest you pay over the life of the loan. Additionally, putting down 20% or more eliminates the requirement for Private Mortgage Insurance (PMI), saving you an additional $50–$300 per month on average.
A 15-year mortgage has higher monthly payments but builds equity faster and pays significantly less interest over the life of the loan. A 30-year mortgage has lower monthly payments, making it more affordable month-to-month, but you will pay roughly 2–3× more in total interest. Use our calculator to compare both scenarios with your specific numbers.
Use the APR (Annual Percentage Rate) quoted by your lender, or the current average mortgage rate for your loan type and credit profile. As of 2024, 30-year fixed rates have been between 6.5%–7.5%. Your actual rate will depend on your credit score, down payment, loan type, and lender.