Break-Even ROAS Calculator

Enter your selling price, product cost, shipping and fees to find your break-even ROAS, your break-even cost per order and the ROAS you need to hit a profit goal. Everything runs in your browser and nothing is sent anywhere.

Use one currency for every amount. No currency symbol is needed. Optional fields can be left blank.

Enter your values and press Calculate.

How to use this break-even ROAS calculator

  1. Enter the selling price and the product cost (COGS) for one order.
  2. Add shipping or fulfilment cost and any other per-order costs. Leave optional boxes blank if they do not apply.
  3. Check the payment fee boxes. They start at 2.9% plus 0.30 as an example, so replace them with the rates on your own account.
  4. Add a target profit per order if you want a target ROAS, then press Calculate or Enter. Reset puts everything back to the starting values.

How to calculate break-even ROAS

ROAS means return on ad spend: revenue divided by what you spent on ads. Break-even ROAS is the ROAS at which an order covers its own costs and the ad spend, leaving zero profit. The calculator works it out like this:

  • Fees = price x fee % + fixed fee
  • Contribution per order = price – product cost – shipping – fees – other costs
  • Margin % = contribution / price x 100
  • Break-even ROAS = price / contribution
  • Break-even CPA (the most you can pay in ads to get one order and break even) = contribution
  • Target ROAS = price / (contribution – target profit)

The higher your margin, the lower your break-even ROAS. A thin margin means every order must bring in a lot of revenue per unit of ad spend before you stop losing money.

Worked example

A product sells for 50. It costs 15 to buy, 5 to ship, and the payment fee is 2.9% plus 0.30. Fees = 50 x 0.029 + 0.30 = 1.75. Contribution = 50 – 15 – 5 – 1.75 = 28.25. Margin = 28.25 / 50 = 56.5%. Break-even ROAS = 50 / 28.25 = 1.77, and the break-even CPA is 28.25.

If you also want 10 profit on every order, target ROAS = 50 / (28.25 – 10) = 50 / 18.25 = 2.74. In other words, you need about 2.74 of revenue for each 1 of ad spend to reach that goal.

Assumptions & limits

  • Every figure is per order and uses the numbers you type in. The fee defaults are examples only, so use the rates from your own payment provider.
  • Refunds, returns, chargebacks, sales tax or VAT, agency fees and platform charges are not included unless you add them under other per-order costs.
  • ROAS here is revenue divided by ad spend, using the selling price as revenue. If a customer buys several items or comes back to buy again, your real numbers will differ.
  • The result is a planning aid, not financial or tax advice. Check it against your real account data before you set budgets.

Frequently asked questions

What is break-even ROAS?

It is the return on ad spend at which your profit is exactly zero. Above it you make money on the order after ad costs, and below it you lose money.

What is a good ROAS?

There is no single good number. It depends on your margin, so work out your own break-even ROAS first and aim above it.

What is the difference between break-even ROAS and target ROAS?

Break-even ROAS covers your costs with no profit. Target ROAS is higher because it also covers the profit per order you want to keep.

What is break-even CPA?

It is the most you can pay in ads to win one order without losing money. It equals the contribution per order.

Why does the calculator say no break-even?

That appears when product, shipping, fees and other costs add up to the selling price or more. Raise the price or cut costs, because no amount of ad efficiency can fix a negative contribution.

Why does it say the target is not reachable?

Your target profit is equal to or higher than the contribution per order. Lower the target or improve the contribution before you set a target ROAS.

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Last updated: October 2026

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