Break-Even Calculator
Work out how many units your Australian small business must sell to cover fixed costs, plus the revenue and profit generated at your expected sales volume.
Your results
Calculation breakdown
- Contribution per unit
- $100 − $60 = $40.00
- Break-even units
- $10,000 ÷ $40.00 = 250 units
Assumptions
- Fixed costs don't change with the volume of units sold.
- Variable cost per unit stays constant at all sales volumes.
- All units produced are sold at the stated selling price.
- The analysis covers a single product or an average across a product mix.
How this calculator works
Break-even units are fixed costs divided by contribution per unit, where contribution is your selling price minus the variable cost of making one more unit. Everything above that point flows to profit.
Frequently asked questions
Fixed or variable cost?
Fixed costs stay the same regardless of volume, such as rent. Variable costs rise with each unit sold, such as materials.
Why did I get an error?
If your selling price is not above your variable cost, every sale loses money and break-even is impossible.
Should I include my own wage?
Yes, if you draw one. Treat it as a fixed cost so the result reflects a genuinely viable business.
Results are estimates only and are not financial, tax, legal or credit advice.