Break Even Calculator

How many sales does your business need to become profitable? Our Break-Even Calculator helps you set a practical sales target by comparing your pricing, operating expenses and per-unit costs.

5,000+

Satisfied Clients

$2M+

Tax Refunds Secured

12+

Years Experience

100%

Satisfaction Guaranteed

How This Break-Even Calculator Works

Your break-even figure gives you a useful benchmark for measuring business performance. It shows the level of sales required to offset your ongoing expenses and the costs associated with each product or service you sell. To get started, enter your fixed costs, variable cost per unit and selling price per unit. The calculator then estimates your break-even sales volume and the revenue needed to reach that point.

The result can give you a starting point for reviewing your pricing, setting sales targets and assessing whether a new product or service is financially viable. Keep in mind that the calculation is an estimate and does not account for every factor that may affect your business’s actual profit.

Know Your Break-Even Point. Plan Your Next Move.

Whether you’re starting a business, reviewing your pricing or planning for growth, our tax professionals can help you understand your numbers and make informed business decisions.

Every Calculator You Need, in One Place

One settlement figure, many moving parts. Explore the rest of your purchase numbers before you commit with our other calculators.

Base Rate Entity

Check whether your company qualifies for the lower 25% base rate entity company tax rate.

Cashflow Forecast

Project money in and out over the coming months and spot shortfalls before they hit.

Division 293 Tax

See whether your income triggers the extra 15% tax on concessional super contributions.

Super Caps Calculator

Track concessional and non-concessional contributions against this year's caps before you exceed them.

Client Reviews

What Our Clients Say

Real reviews from real Australians. 300+ five-star Google reviews and counting.

AAD Taxation got me a refund I never knew I was entitled to. Professional, quick, and explained everything in plain English. They found deductions my previous accountant completely missed. Absolutely outstanding!

Priya S.

As a small business owner, BAS and payroll was a nightmare. AAD took everything off my plate and the fixed pricing means no surprises. Their team responds within hours — incredible service, highly recommended.

Raj M.

I had 3 overdue tax returns and was terrified of the ATO. AAD sorted everything, negotiated my penalties down, and set up a payment plan. Now I’m fully up to date. They literally saved me thousands!

James T.

FAQs

Got Questions? We've Got Answers

Learn more about break-even analysis and how it can help you assess your business performance.

What does break-even mean in business?

Break-even is the point at which your business has generated enough sales revenue to offset its relevant costs. Beyond this level, additional sales can contribute towards profit, assuming your cost and pricing assumptions remain unchanged.

What is the difference between fixed and variable costs?

Fixed costs generally don’t change directly with your sales volume, such as rent or certain subscriptions. Variable costs tend to rise or fall as your production or sales activity changes, such as materials, packaging or transaction fees.

What is the contribution margin?

Contribution margin is the amount left from each sale after deducting its variable cost. It contributes towards covering your fixed expenses and, once those expenses are covered, generating profit.

Why should a business calculate its break-even point?

It can provide a useful benchmark for sales planning. Business owners can use it to assess pricing, set targets, compare different scenarios and understand how changes in costs may affect their financial position.

Is break-even analysis useful for a new business?

Yes. Before launching a product, service or business, you can use break-even analysis to estimate the sales volume required to support your expected cost structure. This can help with early budgeting and pricing decisions.

Can I use break-even analysis when I sell different products?

A basic break-even calculation works best when there is a consistent selling price and variable cost per unit. If your business sells multiple products or services with different margins, a more detailed analysis may be needed.

What happens if my costs increase?

Higher fixed or variable costs can increase the sales required to reach break-even. Running different cost scenarios through the calculator can help you see how changes may affect your target.

Is break-even the same as profit?

No. Break-even represents the point where the relevant revenue and costs balance. It does not mean the business has made a profit. Sales above the break-even level may generate profit, depending on the assumptions used in the calculation.

Ready to Understand Your Business Numbers?

Your break-even point is only one part of the bigger picture. Our tax professionals can help you review your costs, pricing, cash flow and tax position to make more informed decisions for your business.