Use our Break Even Point Calculator to quickly work out how many units or how much revenue you need to sell to cover your costs. This free online break even analysis tool uses the standard break even formula to give you instant results.
Whether you are a small business owner, startup, or student, this calculator helps you understand your break even point clearly and simply.
The break even point (BEP) is the level of sales where your total revenue equals total costs. At this point, you are not making a profit or a loss.
Break Even Analysis shows how many units you need to sell to recover your costs.
The Break Even Formula is:
Break Even Units = Fixed Costs ÷ (Price per Unit − Variable Cost per Unit)
Break Even Revenue = Break Even Units × Price per Unit
👉 This means you need to sell 334 units at $15 each to cover all your costs.
Q: What is break even analysis?
A: Break even analysis is the process of calculating how many units or how much revenue you need to sell in order to cover both fixed and variable costs.
Q: What is the break even point formula?
A: Break Even Point (Units) = Fixed Costs ÷ (Selling Price per Unit − Variable Cost per Unit).
Q: What is the break even point in revenue?
A: Break Even Revenue = Break Even Units × Selling Price per Unit.
Q: Why is break even analysis important?
A: It helps businesses set sales targets, make pricing decisions, and understand when they will start generating profit.
Q: Can this calculator be used for services as well as products?
A: Yes. As long as you know your fixed costs, variable costs, and selling price per service, the formula works the same way.