Advertisement

Break-Even Units Calculator

Find how many units you must sell to break even, counting per-unit costs and percentage fees, plus units per day and units for a profit goal.

Rent, wages, software, insurance — costs that stay the same however much you sell
Materials, packaging, shipping and labour for each unit
Card processing, marketplace commission, sales commission

This calculator answers one practical question: how many units do I have to sell before I stop losing money? Unlike a basic break-even formula, it lets you add costs that scale with the price — card processing, marketplace commission or a salesperson's cut — and turns the answer into a daily sales target, so you can judge whether the number is realistic for your shop, stall or online store.

How to use this tool

  1. Enter your fixed costs for the period, such as a month.
  2. Enter the selling price and the variable cost of making and shipping one unit.
  3. Add fees and commissions charged as a percentage of the price.
  4. Optionally set a profit goal, and enter how many days you sell in the period.

Formula

Contribution per unit = Price − Unit cost − Price × Fee %

Break-even units = Fixed costs ÷ Contribution per unit

Units for a goal = (Fixed costs + Profit goal) ÷ Contribution per unit

The exact result is rounded up, because selling one unit short of it still leaves a small loss. Units per day divides the exact break-even point by your selling days.

Example

A candle maker has $8,000 of fixed costs a month, sells each candle for $45, spends $18 on materials and shipping and pays 5% in card and platform fees ($2.25). Each candle contributes $24.75, so break-even is 8,000 ÷ 24.75 = 323.23, or 324 candles — about 10.77 a day over 30 days, and $14,545 of theoretical revenue. Selling 324 whole candles produces $14,580 of revenue.

Frequently asked questions

Why include percentage fees separately?

Payment and marketplace fees rise with the price, so treating them as a fixed dollar amount understates costs when you test a higher price. Entering them as a percentage keeps the result correct at any price.

What if the calculator says there is no break-even point?

This model requires a positive contribution per unit. With zero contribution, sales cannot cover positive fixed costs; a negative contribution makes losses grow with volume. Zero fixed costs and positive contribution need zero units to break even.

How do I lower my break-even units?

Increase the contribution per unit — a higher price, cheaper materials or lower fees — or cut fixed costs. A small rise in contribution often removes many units from the target.

Last updated: 2026-10-30

Advertisement