Break-Even Price Calculator

Find the minimum price per unit that covers fixed costs, variable costs and percentage fees.

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Currency: Amounts are calculated in the currency you select; this site does not convert between currencies and does not use live exchange rates.

What this tool does

This calculator finds the lowest price at which selling your expected volume exactly covers fixed costs, per-unit costs and platform fees — zero profit, zero loss. Percentage fees are grossed up so they are covered too.

How to use the Break-Even Price Calculator

  1. Enter fixed costs for the period (rent, software, equipment).
  2. Enter variable cost per unit.
  3. Enter how many units you expect to sell.
  4. Enter percentage and fixed fees charged per sale.
  5. Price above the break-even figure to make a profit.

Formula

Price = (F ÷ U + V + f) ÷ (1 − p)
F
Fixed costs
U
Units
V
Variable cost per unit
f
Fixed fee per sale
p
Percentage fees (decimal)

Worked example

$2,000 fixed costs, $12 per unit, 500 units, 10% + $0.30 fees.

Inputs

  • Fixed costs (period)$2000
  • Variable cost per unit$12
  • Units expected to sell500
  • Percentage fees on price10 %
  • Fixed fee per sale$0.3

Result

  • Break-even price per unit$18.11
  • Break-even revenue$9,055.56
  • Contribution per unit$4.00
  • Fixed cost share per unit$4.00

Results explained

Break-even price
Minimum price per unit to avoid a loss.
Break-even revenue
Total sales at that price.
Contribution per unit
What each sale contributes toward fixed costs after fees and variable cost.
Fixed cost share
Fixed costs spread over expected units.

Frequently asked questions

Add fixed cost per unit, variable cost and fixed fees, then divide by one minus your percentage fees.

Break-even price fixes the volume and solves for price; break-even point fixes price and solves for units.

Percentage fees are taken from the price itself, so the price must be grossed up to leave enough after fees.

Costs that don't change with each sale in the period: rent, subscriptions, salaries, equipment.

No — it's a floor. Add a margin with the Target-Margin Price Solver.