Chartered Financial Analyst specializing in digital media and creator economy finance.
Find out how many views your channel needs to cover its costs. Enter any three variables—Monthly Fixed Costs, Revenue per 1,000 Views (RPM), Variable Cost per 1,000 Views, or Breakeven Views (in thousands)—to solve for the fourth.
YouTuber Breakeven Calculator
YouTuber Breakeven Formula
The breakeven formula for a YouTuber finds the number of views (in thousands) (Q) you must have for your total revenue (from AdSense, etc.) to equal all fixed and variable costs.
Q = F / (P – V)
Solve for Monthly Fixed Costs (F):
F = Q * (P – V)
Solve for Revenue per 1,000 Views (P):
P = (F / Q) + V
Solve for Variable Cost per 1,000 Views (V):
V = P – (F / Q)
Variables Explained
- Monthly Fixed Costs (F): Your total, recurring monthly overhead (e.g., editing software, internet, new equipment, marketing).
- Revenue per 1,000 Views (RPM) (P): Your average revenue from all sources (AdSense, affiliates, merch) per 1,000 views. This is your (P)rice.
- Variable Cost per 1,000 Views (V): The average cost tied to producing 1,000 views. This could be freelance editing fees, software that charges by usage, or transaction fees on merch sales (prorated). For many, this is $0.
- Breakeven Views (in 000s) (Q): The total number of *thousands of views* you need to get to reach $0 in monthly profit. (e.g., Q=30 means 30,000 views).
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What is a YouTuber Breakeven Point?
A **YouTuber Breakeven Point** is the minimum number of views (Q) your channel must get per month to cover all your production, software, and marketing costs. This calculation is essential for creators to understand how many views they *actually* need to be profitable, not just popular.
**Fixed Costs (F)** are your “cost of creating” each month. This includes all expenses you pay even if you get zero views. Common examples are video editing software (e.g., Adobe Creative Cloud), music licensing services, internet bills, new equipment (like lights or a camera, spread out over time), and any marketing budget.
**Price (P)**, for a YouTuber, is **RPM (Revenue Per 1,000 Views)**. This is the *total* revenue you earn from AdSense, affiliate links, and merch sales, divided by your total views in thousands. For example, if you earn $750 from 100,000 views, your RPM is $7.50.
The **Contribution Margin** (P – V) is the profit from a single “unit” (1,000 views) that goes toward paying off your fixed costs. If your RPM is $7.50 (P) and you pay a freelance editor $0.50 per 1,000 views (V), your contribution margin is $7.00. This $7.00 is what you use to pay for your software, internet, etc.
How to Calculate YouTuber Breakeven (Example)
Let’s calculate the breakeven point for a YouTuber.
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Identify Monthly Fixed Costs (F):
Your editing software is $50/mo, music service is $20/mo, and internet is $80/mo. Your (F) is $150.
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Identify Revenue per 1,000 Views (P):
Your channel’s average AdSense RPM is $5.00.
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Identify Variable Cost (V):
You have no variable costs tied directly to views. Your (V) is $0.
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Apply the Formula: Q = F / (P – V)
First, calculate the contribution margin per 1,000 views: $5.00 (P) – $0 (V) = $5.00.
Next, divide the fixed costs by this margin:
Q = $150 / $5.00 = 30 -
Conclusion:
You must get 30,000 views (Q=30) each month to cover all your costs and start making a profit.
Frequently Asked Questions (FAQ)
CPM (Cost Per Mille) is what *advertisers* pay YouTube per 1,000 ad impressions. RPM (Revenue Per Mille) is your *actual share* of revenue from all sources (including ads, channel memberships, Super Chats) per 1,000 video views. Always use your **RPM** as your Price (P).
Sponsorships are not based on views, so they don’t fit this model well. You should treat sponsorship income as *separate* from your view-based breakeven. Alternatively, you could *subtract* your sponsorship income from your Fixed Costs (F) to find how many views you need to cover the *rest* of your costs.
Yes. To calculate your *true* breakeven, you should pay yourself a “salary” for your time and include it in your **Fixed Costs (F)**. This shows you how many views you need to make your channel a sustainable job.
Enter your (F) (e.g., $150), (V) (e.g., $0), and your target number of views (Q, in 000s) (e.g., 50 for 50,000 views). Solve for (P): `P = ($150 / 50) + $0 = $3.00`. Your RPM must be at least $3.00 to break even with 50,000 monthly views.