Break-Even ROAS
Minimum ROAS needed to avoid loss
Break-Even ROAS Calculator – Find Your Minimum Profitable ROAS | tolkit.me
What Is the Break-Even ROAS Calculator?
The Break-Even ROAS Calculator on tolkit.me shows you the minimum ROAS (Return on Ad Spend) you need so your campaigns don’t lose money. Instead of guessing, you plug in your product economics and the tool reveals the exact ROAS where profit becomes zero.
By entering your product cost, selling price, shipping, platform fees and advertising cost per sale, the calculator outputs:
- Break-even ROAS
- Your current ROAS vs break-even
- A simple recommendation like “Above break-even” or “Below break-even”
The UI focuses on clear number displays, with an optional bar comparison chart built in pure JavaScript — no backend or API required.
Why Use a Break-Even ROAS Calculator?
Knowing your ROAS is good. Knowing your break-even ROAS is what actually keeps you profitable. Two campaigns with the same ROAS can have completely different results depending on product margins and fees.
This calculator helps you:
- ✔️ See the minimum ROAS you need to avoid losing money
- ✔️ Compare your current ROAS versus break-even
- ✔️ Understand how product cost, shipping and fees impact ad performance
- ✔️ Decide whether to scale, optimize or pause campaigns
- ✔️ Price products and set ad targets more strategically
Instead of blindly chasing “high ROAS”, you’ll know if your actual ROAS is truly safe relative to your product margins.
How to Use the Break-Even ROAS Calculator
The interface is a clean, dark layout with inputs on the left and results on the right. Numbers update instantly as you type, and you can optionally show a bar chart comparing current ROAS vs break-even, using pure JavaScript.
-
1Enter your Product Cost:
Add the cost of goods sold (COGS) — what you pay your supplier or manufacturer for each unit. -
2Add your Selling Price:
Enter the price you charge the customer on your store or marketplace. -
3Include variable costs per sale:
• Shipping – shipping cost you cover per order • Platform Fees – marketplace or payment fees per sale (converted into a per-order value) • Advertising Cost per sale – average ad spend to acquire one order -
4Review the Break-even ROAS result:
The calculator shows the break-even ROAS — the ratio of revenue to ad spend at which your profit per sale becomes zero, based on your product economics. -
5Compare current ROAS vs break-even:
Using your advertising cost per sale, the tool can compute your current ROAS (Selling Price ÷ Ad Cost per sale) and visually compare it to break-even with:
• Clear number displays
• A bar comparison chart (optional)
• A color-coded label (red, yellow, green) -
6Read the recommendation:
The tool shows a short message like:
• “Above break-even — current ROAS is safe.”
• “Near break-even — monitor and optimize.”
• “Below break-even — you are likely losing money.”
How the Break-Even ROAS Logic Works (No Backend Needed)
The Break-Even ROAS Calculator uses simple, transparent formulas and runs entirely in your browser using JavaScript. There is no backend, database or API — just instant front-end math.
Conceptually, it works like this:
- Per-order profit before ads = Selling Price − (Product Cost + Shipping + Platform Fees)
- Maximum ad spend per sale at break-even = that per-order profit
- Break-even ROAS = Selling Price ÷ Maximum ad spend per sale
Using your Advertising Cost per sale, the tool can also compute your current ROAS:
- Current ROAS = Selling Price ÷ Advertising Cost per sale
Then it compares Current ROAS vs Break-even ROAS to show if you’re above, near or below the safety line. A bar chart and color-coded state (red < yellow < green) make that comparison easy to understand at a glance.
Frequently Asked Questions
Yes. The Break-Even ROAS Calculator is completely free to use, with no registration, subscription or usage limits. Just enter your product and ad numbers to see your break-even point.
No. All calculations run locally in your browser with JavaScript. Your costs, prices and ad spend are only used to calculate the results shown on your screen.
“Above break-even” means your current ROAS is higher than the minimum ROAS required based on your product cost, shipping, fees and pricing. In simple terms, your ads are not losing money at the per-order level based on the inputs you provided.
Yes. As long as you know your product cost, selling price, shipping and platform fees per sale, you can use the Break-Even ROAS Calculator for dropshipping, DTC brands, digital products and more.