Sumwick.

Break-Even ROAS Calculator

Find the revenue each advertising dollar must generate under your cost assumptions.

Revenue minus variable costs as a share of revenue, before ads. Use 0.01% to 100%.

Use up to two decimal places without commas or currency symbols. USD inputs are limited to $1 billion.

Formula

ROAS = attributed revenue ÷ advertising spend. Break-even ROAS = 100 ÷ contribution margin before ad spend (as a percent).

Worked example

At an illustrative 40% contribution margin before ads, break-even ROAS is 2.5× or 250%. Every $1 of advertising needs $2.50 in attributed revenue; 40% of $2.50 covers the $1 ad cost.

What break-even covers

The model covers included variable costs and ads, not fixed overhead or taxes unless your cost model includes them. It does not guarantee profitable advertising. Use consistent revenue/attribution, including relevant discounts and refunds. A platform's conversion value may differ from revenue.

Limits

Contribution margin must be above 0% and at most 100%. Zero or negative contribution gives no finite positive break-even ROAS here. Results display up to two decimals.

The Profit Margin Calculator can help estimate contribution when you enter variable costs excluding ads.

ROAS reference: Google Ads conversion value per advertising cost. Our break-even equation is algebra from the assumptions above, not a Google bidding recommendation.