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Farm Cost and Break-Even Calculator

Add up what a hectare or acre costs to grow, then see the profit and the break-even yield and price.

Part of the 🌾 Farmers toolkit, with more tools made for the job.

What it costs you, per hectare

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Type the area and what it costs you, and the cost per area appears here. Add yield and price to see profit and break-even.

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Type what you spend per hectare or acre on seed, fertiliser, sprays, fuel and machinery, labour, land and anything else. This adds it up, and with your expected yield and price shows the profit and the break-even point.

The break-even price is the lowest price at which you cover your costs at your expected yield. The break-even yield is the yield you need at your expected price. Knowing both tells you how much room there is before a bad year turns into a loss.

How it’s worked out

  • Cost per area is the sum of the costs you typed in. The total cost is that times the area.
  • Revenue per area is the yield times the price. Profit per area is revenue minus cost.
  • Break-even yield is the cost per area divided by the price. Break-even price is the cost per area divided by the yield. The cost to grow each unit is the same as the break-even price.

Costs of $950 per hectare with a yield of 5,000 kg and a price of $0.30 a kg: revenue is $1,500 per hectare and profit is $550. To break even you need 3,167 kg at this price, or $0.19 a kg at this yield.

Common mistakes

  • Leaving out the land. Rent, a loan payment or the value of land you own are all real costs.
  • Forgetting your own labour. If you do the work, count a fair wage for it, or the profit looks bigger than it is.
  • Using the best yield you have ever had. Use a typical yield, and test a lower one.
  • Counting only cash costs and ignoring the machine. The machinery cost per hour calculator helps with that line.

Questions

Which costs should I include?

It depends on the question. Counting only operating costs (seed, fertiliser, sprays, fuel, labour) gives a much lower break-even than counting every cost, including land, machinery ownership and overheads. Extension economists suggest adding the costs you cannot avoid, such as rent, loan payments and a share of overheads, to see what it really takes to stay in business. Whatever you choose, use the same set every time so you can compare seasons.

What unit should I use for yield and price?

Whatever you sell by, such as kilograms, tonnes, bushels or bags. Type the unit in the box and use the same unit for both yield and price.

Can I use acres?

Yes. Switch the units to imperial and type every cost, and the yield, per acre.

What if I sell part of the crop at different prices?

Use one average price for a rough answer, or run the calculation twice with each price and yield and add the results.

Estimates only

These are estimates and general information, not agronomic, financial or professional advice. Rates, timings and costs depend on your crop, land, weather and local rules.