CalcPenguin

Break-Even Calculator

Find how many units you need to sell to cover your fixed costs, from your selling price and the cost of each unit.

Your numbers are saved in this browser.
PKR

Costs you pay whatever you sell, for the period you're planning (e.g. a month).

PKR
PKR

Materials, packaging, delivery: what each extra sale costs you.

Units to break even

500 units

Sales needed
Rs 750,000
Contribution per unit
Rs 600
Contribution margin
40%

Each sale leaves Rs 600.00 towards your fixed costs, so you need 500 sales (Rs 750,000.00) to cover Rs 300,000.00. Every sale after that is profit.

How it's worked out

  1. What each sale contributesRs 1,500.00 − Rs 900.00Rs 600.00
  2. Units to cover fixed costsRs 300,000.00 ÷ Rs 600.00500
  3. Rounded up to whole units500

The formula

Break-even units = fixed costs ÷ (price per unit − cost per unit)

Worked example

A shop with Rs 300,000 of monthly fixed costs sells an item for Rs 1,500 that costs Rs 900. Each sale contributes Rs 600, so it needs 300,000 ÷ 600 = 500 sales (Rs 750,000) a month to break even.

Questions people ask

What is the break-even point?

The number of sales at which your income exactly covers your costs. Below it you lose money; above it each sale adds profit.

What counts as a fixed cost?

Costs you pay whatever you sell: rent, salaries and software subscriptions. Materials and delivery for each sale are variable costs.

How do I lower my break-even point?

Raise your price, cut the cost per unit, or reduce fixed costs. Use Compare scenarios to see the effect of each.

Formula and rules last checked 25 October 2026Written and tested by the CalcPenguin teamReport a problem