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Kordu Tools
Finance Runs in browser Updated 08 Apr 2026

Break-Even Calculator

Calculate break-even units and revenue from fixed costs, variable costs, and selling price.

Enter values

Break-even units500
Break-even revenue25,000.00
Contribution margin per unit20.00
Contribution margin ratio40.00%
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How to use Break-Even Calculator

  1. Enter fixed costs

    Enter total fixed costs — costs that do not change with sales volume, such as rent, salaries, and software subscriptions.

  2. Enter variable cost per unit

    Enter the cost to produce or acquire each unit sold — materials, shipping, payment processing fees, etc.

  3. Enter selling price per unit

    Enter the price you charge per unit. This must be higher than the variable cost per unit.

  4. Read the break-even results

    Break-even units, revenue, contribution margin, and margin ratio are calculated instantly.

Break-Even Calculator FAQ

What is the break-even point?
The break-even point is the sales volume at which total revenue equals total costs — neither profit nor loss. Every sale beyond this point generates profit equal to the contribution margin per unit.

What is the break-even formula?
Break-even units = Fixed costs ÷ (Selling price − Variable cost per unit). Break-even revenue = Break-even units × Selling price.

What are fixed costs?
Fixed costs are costs that remain constant regardless of sales volume — rent, annual software licences, salaried staff, insurance, and equipment depreciation. They do not change whether you sell 1 unit or 10,000.

What are variable costs?
Variable costs change in proportion to sales volume — raw materials, packaging, payment processing fees, shipping, and sales commissions. The variable cost per unit stays roughly constant as volume changes.

What is contribution margin?
Contribution margin per unit = Selling price − Variable cost per unit. It is the amount each unit sold contributes to covering fixed costs. Once fixed costs are covered, every additional unit generates profit equal to the contribution margin.

How do I use this for business planning?
Run the calculator with different price points and cost assumptions to model scenarios. A lower price requires more units; reducing variable costs lowers the break-even point; reducing fixed costs has the same effect.

Is my data sent anywhere?
No. All calculations happen in your browser. Nothing is uploaded or stored.

Background

The Kordu Break-Even Calculator tells you how many units you need to sell and how much revenue you need to generate before your business covers all its costs and starts making a profit.

Break-even units = Fixed costs ÷ (Selling price − Variable cost per unit). Break-even revenue = Break-even units × Selling price.

The contribution margin per unit is the amount each sale contributes toward covering fixed costs after paying variable costs. The contribution margin ratio expresses this as a percentage of the selling price — useful for comparing products and understanding how quickly fixed costs are covered as volume grows.

Common uses: new product pricing, business plan validation, sales target setting, evaluating the impact of cost changes, and scenario planning for different price points.

All calculations run client-side in your browser. Nothing is uploaded or stored.

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