ROAS and break-even calculator

See how much revenue each advertising dollar returned, then check whether your margin covers the spend.

Free to use. No account required.

Enter your numbers

The prefilled numbers are an example. Replace them with your own inputs.

Currency

Labels monetary inputs and results; no exchange-rate conversion.

Ad spend

Use the same currency and reporting period as revenue.

Attributed revenue

Use revenue attributed under a consistent measurement window.

Contribution margin before ads (%)

Revenue left after variable costs such as goods, fulfilment, fees and expected returns; before advertising.

Your results

Return on ad spend: 4×; Attributed revenue ÷ ad spend
Break-even ROAS: 1.67×; 1 ÷ contribution margin as a decimal
Contribution after ads: $1,400.00; Revenue × contribution margin − ad spend

How to use the result.

By IG Ad Library · Updated October 23, 2026. Calculations run in your browser.

ROAS measures revenue per advertising dollar

Divide attributed revenue by ad spend. A 4× ROAS means four currency units of attributed revenue for every unit spent. It does not mean four units of profit.

Your margin determines break-even ROAS

Break-even ROAS = 1 ÷ contribution margin as a decimal. With a 60% margin, the threshold is 1.67×. Contribution after ads = revenue × margin − ad spend. Fixed overhead, tax and the cost of capital are outside this model.

Match the window before comparing ads

Use the same attribution window, currency, revenue basis and conversion definition for both creatives. Returns, repeat purchases and platform attribution can change the answer. Revenue attributed to an ad does not by itself establish incremental revenue.

Worked example

With 1,000 in ad spend, 4,000 in attributed revenue and a 60% contribution margin, ROAS is 4×. Break-even ROAS is 1.67× and contribution after ads is 1,400, before fixed overhead and tax.

Google Ads: measuring return on investment

Common questions.

What is a good ROAS?

There is no single target for every business. Start with contribution margin, then account for overhead, cash constraints, customer retention and your measurement window. A revenue multiple alone cannot establish profitability.

Does this work for subscriptions?

Yes, if revenue and costs use the same explicit time horizon. Do not compare first-month ad spend with an unsupported lifetime-revenue estimate. Model retention and costs separately before extending the horizon.

Apply it to a creative reference.

Study the opening, promise and evidence in a real ad before deciding what to change.