Small business break-even calculator

Estimate the monthly sales revenue needed to cover fixed costs using your variable-cost share. Add an average sale value to estimate the number of transactions. Results depend on stable costs and consistent inputs.

Break-even sales

Monthly planning

Estimate the revenue required to cover fixed costs after variable costs, and optionally convert the target into an approximate number of sales at your average transaction value.

Monthly fixed costs (AUD)

Variable costs (% of sales)

Average sale value (AUD, optional)Used to estimate how many sales you need.

Estimated monthly break-even revenue

$7,692.31

Contribution margin65.0%

Sales at your average value77 sales

Formula: fixed costs ÷ (1 − variable-cost share). Sales count is rounded up.

What this estimate assumes

Assumes your variable costs stay at the same share of revenue and fixed costs remain stable. It does not include tax, financing, owner drawings or one-off costs. Use consistent GST-exclusive figures.

How to use this calculator

Enter monthly fixed costs, variable costs as a percentage of sales and (optionally) an average sale value. Break-even revenue is fixed costs divided by the contribution-margin percentage.

Formula and example

Contribution margin is the share of each dollar of sales left after variable costs. The calculator estimates break-even when that contribution covers the period’s fixed costs.

Related calculators

GST calculator — Add or remove GST from a price and see the GST component.
Freelance hourly rate — Plan an hourly rate from your pay goal, costs and billable time.
Markup & margin — Set a product price and compare markup with gross margin.

Guides for this calculator

Frequently asked questions

How is break-even revenue calculated?

The calculator divides fixed costs by the contribution-margin ratio, which is 1 minus the variable-cost share.

How does the calculator estimate sales needed?

It divides estimated break-even revenue by your average sale value and rounds the result up to a whole sale.

What costs should I enter?

Use fixed and variable costs for the same period and define them consistently. The estimate does not automatically include every tax, financing or one-off cost.

Does break-even mean my business is making a profit?

No. Break-even is where modelled income equals modelled costs. Profit depends on revenue above that point and on whether the inputs reflect all relevant costs.