EVERYDAY CLARITY

Contribution Margin Calculator

How much does each sale contribute toward fixed costs and profit. Enter the quantities below to calculate the result.

Enter your values

01

Use a dot or comma for decimals.

Your result
Contribution per unit
9.50 currency
Contribution margin ratio
38.00 %
Total contribution
950.00 currency

Result for the values shown.

Calculations run in your browser.

What to enter
InputMeaning and units
Unit selling price (currency)Enter unit selling price in currency; use the same basis as the other measurements.
Variable cost per unit (currency)Enter variable cost per unit in currency; use the same basis as the other measurements.
Units sold (units)Enter units sold in units; use the same basis as the other measurements.

Understanding your result

The outputs describe the mathematical scenario you entered. Assumed rates, timing and included costs determine the result; an estimate is not an offer or eligibility decision.

Common mistakes

  • Mixing annual and monthly periods, or leaving out a cost that the model does not include.

Check your calculation

  • Compare a simple one-period or zero-change case with hand arithmetic before applying a longer scenario.

Calculation checks, sources and review limits

How much does each sale contribute toward fixed costs and profit?

How much does each sale contribute toward fixed costs and profit. Enter the quantities below to calculate the result.

Common uses

  • How much does each sale contribute toward fixed costs and profit

How it works

Subtract variable cost per unit from unit price.

Worked example

Enter Unit selling price: 25 currency; Variable cost per unit: 15.5 currency; Units sold: 100 units. Results: Contribution per unit: 9.5 currency; Contribution margin ratio: 38 %; Total contribution: 950 currency.