Break-even point calculator
Enter your monthly fixed costs, the price you sell at and the variable cost of each unit. You will see how many units you must sell to cover costs, and how many to earn the profit you aim for.
Sample data
Breakdown
- Variable cost · €20.00
- Contribution margin per unit · €30.00
- Contribution margin per unit
- €30.00 (60.00%)
- Sales needed per month
- €5,000.00
- Total costs at that point
- €5,000.00
How it was calculated
- Contribution margin = price − variable cost: €50.00 − €20.00 = €30.00
- Units = fixed costs ÷ margin: €3,000.00 ÷ €30.00 = 100 → 100 (rounded up)
- Sales = 100 × €50.00 = €5,000.00
Rounded up: you cannot sell half a unit.
Indicative result: it does not replace an advisor's advice.
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See Invoicing Create a free accountWhat is the break-even point?
It is the sales volume at which you take in exactly what you spend: you neither earn nor lose. Beyond it, every unit sold leaves a profit. It is one of the basic sums for setting prices and knowing whether a business or service pays its way.
How is the break-even point calculated?
Break-even units = fixed costs ÷ (selling price − variable cost per unit). The gap between price and variable cost is the contribution margin: what each unit adds towards fixed costs. With €3,000 of fixed costs, a €50 price and a €20 variable cost, each unit contributes €30 and you need 100 units.
What are fixed and variable costs?
Fixed costs do not depend on how much you sell (rent, autónomo contribution, software, fixed salaries). Variable costs grow with each unit (materials, commissions, shipping). Telling them apart properly is what makes the calculation useful.
How do I work out how much to sell to reach a profit target?
Add the monthly profit you want to the fixed costs and divide by the contribution margin. With the example above and a €1,500 target: (3,000 + 1,500) ÷ 30 = 150 units.
What if the numbers do not work?
If the volume needed is more than you can sell, there are three levers: raise the price, lower the variable cost or cut fixed costs. Try each in the calculator; you can also see how margin changes with the margin and markup calculator.
Worked example: an online shop with €3,000 of fixed costs
Selling price: €50. Variable cost (product, shipping, commission): €20. Contribution margin: 50 − 20 = €30 per unit, 60% of the price. Break-even: 3,000 ÷ 30 = 100 units, i.e. €5,000 of sales. Every unit above 100 leaves €30 of profit.
How to use this tool
- Enter your monthly fixed costs.
- Enter the selling price and the variable cost of each unit (and, if you like, a target profit).
- Read the units and sales you need.
Frequently asked questions
How is the break-even point calculated?
Fixed costs ÷ (selling price − variable cost per unit). The result is units; multiply by the price to get it in euros.
What is the contribution margin?
The difference between the selling price and the variable cost of a unit: what each sale adds towards fixed costs.
Why is it rounded up?
Because you cannot sell fractions of a unit: with 33.3 break-even units you need to sell 34 to cover costs.
Does it work for services, not just products?
Yes: the unit can be an hour, a project or a subscription. Use the price per unit and the variable cost of that unit.
Does it include VAT?
No: it works with prices and costs excluding VAT.
Keep reading
- Bank reconciliation for small businesses in Spain
- Free invoicing software in Spain: what to look for
- Freelance hourly rate calculator
- Profit margin and markup calculator
- Discount and price increase calculator
- Spanish VAT calculator
- All free tools
Reviewed on 6 November 2026. Indicative result: it does not replace an advisor's advice.
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