See how many units you must sell to cover your costs — from fixed costs, your price, and the variable cost per unit.
Break-even ignores taxes and assumes a constant price and unit cost. Above break-even each unit's contribution margin is profit. Estimate only.
Each unit you sell contributes its price minus its variable cost toward fixed costs — the contribution margin. Divide total fixed costs by that margin and you have the number of units where you stop losing money and start making it.
Break-even units = fixed costs ÷ (price − variable cost per unit)
If price doesn't exceed variable cost, you lose money on every sale and can never break even — raise the price or cut the unit cost first.
Cut fixed costs, raise price, or reduce variable cost per unit. Each one shrinks the number of units you need.
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It uses standard formulas and recalculates the moment you change a value, so the math is exact for the inputs you enter. Treat the result as a reliable planning estimate; for decisions with legal or tax consequences, confirm the figures with a qualified professional.
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Last reviewed: September 2026. Free to use, no signup — Break-Even Units Calculator by ToolWise Digital.
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