Break-Even Calculator
Our break-even calculator helps you identify the exact sales needed to cover costs, giving clear insight into profitability. Ideal for pricing decisions, margin planning and financial forecasting.
Break-Even Calculator
Calculate the point where total revenue equals total costs
Fixed Costs Costs that remain constant regardless of production volume. Examples: rent, salaries, insurance, depreciation.
£
Variable Costs Costs that change with production volume. Examples: raw materials, direct labour, packaging, shipping per unit.
£
Selling Price
£
📚 Key Concepts
Fixed Costs
Costs that don't change with production volume. They must be paid regardless of how many units you sell: rent, salaries, insurance, loan payments.
Variable Costs
Costs that increase proportionally with each unit produced: raw materials, direct labour hours, packaging, shipping costs per item.
Contribution Margin
The amount each unit sale contributes towards covering fixed costs and generating profit. Calculated as: Selling Price − Variable Cost per Unit.