Contractor Break-Even Calculator
How much revenue do you need every month to cover fixed and variable costs — and what does hitting your target margin actually take?
How do you calculate a contractor's break-even revenue?
Break-even revenue = monthly fixed costs ÷ contribution margin, where contribution margin = 1 − (variable cost as % of revenue). If fixed costs are $40,000 and variable costs eat 60% of every dollar, you need $100,000 of monthly revenue to break even.
Cost inputs
Rent, admin salaries, insurance, software, trucks, marketing.
Materials + direct labor + subs + commissions.
Revenue needed
Break-even revenue / month
$100,000
Contribution margin: 40.0%
Revenue for target margin
$133,333
How this calculator works
Contribution margin = 1 − (variable cost % / 100). It's the share of every revenue dollar that survives job costs and is available to cover fixed cost and profit.
Break-even revenue = fixed costs ÷ contribution margin. Below that number you lose money; above it, every additional dollar contributes to profit at the contribution margin rate.
Target revenue = fixed costs ÷ (contribution margin − target net margin). This is what you need to bill to end the month at your target profit percentage.
Run the whole business on URBLD
Estimating, contracts and e-sign, scheduling and dispatch, materials, invoicing, and follow-up — every touchpoint tied to the same job record.
Frequently Asked Questions
Straight answers about how URBLD runs the business end-to-end.