Break-even calculator for a print on demand
With $900 of fixed costs a month, a price of $32.00 and $18.00 of cost per sale, you break even at 65 sales a month ($2,080 of revenue).
Free, runs in your browser, nothing is sent anywhere. Move the sliders to try your own numbers.
The numbers for these inputs
| Sales | Revenue | Total cost | Profit |
|---|---|---|---|
| 0 | $0 | $900 | -$900 |
| 13 | $416 | $1,134 | -$718 |
| 26 | $832 | $1,368 | -$536 |
| 39 | $1,248 | $1,602 | -$354 |
| 52 | $1,664 | $1,836 | -$172 |
| 65 | $2,080 | $2,070 | $10 |
| 78 | $2,496 | $2,304 | $192 |
| 91 | $2,912 | $2,538 | $374 |
| 104 | $3,328 | $2,772 | $556 |
| 117 | $3,744 | $3,006 | $738 |
| 130 | $4,160 | $3,240 | $920 |
How it works
Every sale leaves a margin: the price minus the variable cost of making and delivering it. Fixed costs (rent, software, salaries) do not change with sales, so you break even when margin x number of sales equals fixed costs.
Break-even sales = fixed costs / (price - variable cost), rounded up to a whole sale. Below that number you lose money; above it, every extra sale adds one margin to profit.
The chart shows revenue and total cost as lines; they cross at the break-even point. The table lists sales, revenue, total cost and profit around it.
Common mistakes
- Leaving out your own pay: if the business must also pay you, add it to the fixed costs.
- Treating a cost that grows with sales (payment fees, packaging, shipping) as fixed.
- Using the list price when most sales are discounted.
- Assuming demand: break-even tells you the target, not whether customers will buy that many.
Questions
How many sales do I need to break even?
65 a month, or $2,080 of revenue, with the numbers above.
What is my margin on each sale?
$14.00, which is 43.75% of the price.
What happens if I raise the price?
Each extra $1 of price adds $1 of margin per sale and lowers the break-even number. Move the price slider to see how fast it falls.
Which costs are fixed and which are variable?
Fixed: rent, subscriptions, salaries, insurance. Variable: ingredients, materials, packaging, shipping and payment fees, which grow with each sale.
Does break-even include tax?
No. It is before tax and before any pay you take from the business.
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