Contractor Break-Even Calculator
How many jobs do you need per month to cover your overhead? Enter your numbers and find out your break-even point — and how far above it you are.
Your Business Numbers
Insurance, vehicle, tools, software, phone, marketing — costs you pay regardless of jobs
Break-Even Analysis
Understanding Your Contractor Break-Even Point
Your break-even point is the minimum revenue you need to cover all costs — overhead plus direct job costs — with nothing left over as profit. Every dollar above break-even is profit. Every dollar below is a loss.
Most contractors know they need to stay busy, but few know exactly how many jobs they need per month just to keep the lights on. That number — your break-even job count — is fundamental to running a financially sound business.
Fixed Costs vs. Variable Costs
Fixed costs (overhead) are what you pay every month regardless of how many jobs you do. Insurance, vehicle payments, tool leases, software subscriptions, phone bills — these don't go away when you have a slow week.
Variable costs are direct job costs that only exist when you're doing work — materials, subcontractors, job-specific labor. These scale with your work volume.
Your break-even formula: Overhead ÷ (Revenue per job − Direct cost per job) = Break-even jobs per month
Why This Matters for Pricing Decisions
When you know your break-even job count, pricing decisions become clearer. If you need 4 jobs per month to break even and you're regularly doing 7, you have a 3-job cushion — and could potentially raise prices slightly without falling below break-even. If you're doing 4 jobs and barely breaking even, one slow month could put you in the red.
Lowering Your Break-Even Point
Two ways to lower your break-even job count: reduce overhead (cut unnecessary expenses) or increase the margin per job (better pricing or lower job costs). Tracking your actual job costs with contractor bookkeeping software helps you see exactly where to tighten costs.
Know Your Numbers. Build a Profitable Business.
Hardhat Ledger tracks job costs, overhead, and margins automatically — giving you the real numbers behind your break-even.
Start Free Today