Breakeven & Capacity Calculator
Know exactly how many units you need to sell to cover your fixed costs. Model your capacity utilization and see the revenue vs. cost dynamics that drive profitability.
1Fixed Costs
Rent, salaries, insurance, utilities — costs that don't change with production volume.
2Variable Costs Per Unit
Materials, labor, packaging — costs that scale with each unit produced.
3Pricing
Your selling price per unit. Must be higher than variable cost per unit.
Enter your fixed costs, variable cost per unit, and price to calculate breakeven.
Frequently Asked Questions
What are fixed costs?
Fixed costs are expenses that remain constant regardless of production volume — rent, salaries, insurance, utilities, and loan payments.
What are variable costs?
Variable costs scale with production volume — raw materials, direct labor, packaging, and shipping. They increase as you produce more units.
What is contribution margin?
Contribution margin is the percentage of each sale that contributes to covering fixed costs and profit. Higher contribution margins mean you break even faster.
How do I use this to improve profitability?
Lower your breakeven point by either reducing fixed costs, reducing variable costs per unit, or increasing your price. The chart shows the impact of each change.