In any business, understanding when revenue covers all costs is crucial. Our Break-even Point Calculator helps small business owners determine how many units or sales volume they need to cover fixed and variable costs. Enter your fixed costs, variable cost per unit, and price per unit to instantly see the break-even point, visualize it on a gauge, and get tailored recommendations for optimizing pricing or cost structures.
Input realistic values:
• Fixed Costs: total overhead (e.g., rent, salaries).
• Variable Cost/Unit: cost to produce one item.
• Price/Unit: selling price per item.
All fields must be positive numbers, and Price must exceed Variable Cost.
Please enter valid positive numbers and ensure price > variable cost.
Sample Benchmarks
| Industry | Typical BEP (Units) |
|---|---|
| Coffee Shops | 2000 |
| Retail Apparel | 500 |
| SaaS | 1000 |
| Manufacturing | 15000 |
How to Use This Calculator
- Enter total fixed costs in dollars (rent, salaries).
- Enter variable cost per unit in dollars (production cost).
- Enter price per unit in dollars (your selling price).
- Click “Calculate BEP” to get the break-even units required.
- Review the gauge and personalized suggestion for pricing/cost optimization.
- Copy, download a PDF, or share your results.
Frequently Asked Questions
- Q: What if variable cost ≥ price?
A: BEP is infinite—adjust pricing or reduce variable costs. - Q: Can I use monthly vs annual costs?
A: Ensure fixed and variable costs use the same period.
This calculator is for educational purposes only. NextGigLife.com is not liable for business decisions based on these estimates. Consult a financial advisor for tailored advice.