๐ฐ Finance & Pricing
Ad ROAS & Break-Even CPA Calculator
Calculate break-even ROAS and max CPA before scaling ads. All calculations run locally in your browser โ free, instant and private.
๐ ROAS Calculator Guide
What is a healthy ROAS, and why calculate break-even first?
ROAS (Return on Ad Spend) = revenue from ads รท ad spend. Ecommerce benchmarks suggest 3x or above for Facebook/TikTok ads, but the number only means something against your own margin structure: for a $29.99 product with $11.50 in cost and shipping, break-even ROAS is 1.62x โ even a 2x actual ROAS still makes money. High-ticket low-margin products, on the other hand, can lose money at 5x.
Break-even ROAS = price รท unit gross profit; break-even CPA = unit gross profit. These are the red lines: actual ROAS above the line earns profit, actual CPA below the line deserves more budget. Always compute them before scaling, not after burning cash.
How to use this calculator
Enter product cost, selling price, shipping and ad spend per order (all USD), then hit calculate to get gross profit, actual ROAS, break-even CPA, break-even ROAS and profit margin. When unit gross profit is โค 0, the tool warns that there is no acquisition budget โ break-even metrics are meaningless until pricing or supply-chain costs are fixed.
Everything runs locally in your browser. Results exclude payment chargebacks, returns and taxes โ keep a 3-5 percentage point safety margin in real campaigns.
โ FAQ
Difference between break-even ROAS and actual ROAS?
Break-even ROAS = price รท unit gross profit โ the minimum to not lose money. Actual ROAS = ad revenue รท ad spend โ what your campaigns really deliver. Profit exists only when actual exceeds break-even.
Why no break-even ROAS when gross profit is negative?
With gross profit โค 0 every sale loses money regardless of ad efficiency, so break-even ROAS is mathematically meaningless. Fix pricing or supply-chain costs first.