ROAS calculator
Return on ad spend, break-even ROAS from your margin and the real profit or loss after ads.
- ๐บ๐ธ US federal & state rules
- See sources
ROAS
4x
$4,000.00 in sales from $1,000.00 in ads (400%)
- Break-even ROAS
- 2.5x
- Profit after ads
- $600.00
- ROI on ad spend
- 60%
- Sales to break even
- $2,500.00
This is an example. Enter your numbers above and press the button to see your own result.
Profit at other ROAS levels
| 1x ROAS ($1,000 sales) | loss $600.00 |
|---|---|
| 2x ROAS ($2,000 sales) | loss $200.00 |
| 3x ROAS ($3,000 sales) | $200.00 |
| 4x ROAS ($4,000 sales) | $600.00 |
| 5x ROAS ($5,000 sales) | $1,000.00 |
| 6x ROAS ($6,000 sales) | $1,400.00 |
| 8x ROAS ($8,000 sales) | $2,200.00 |
- Your ROAS is above the 2.5x break-even line, so the ads paid for themselves on these sales.
- Margin here means what is left of each sales dollar after product cost, shipping and fees, before ad spend.
- ROAS only counts sales the ad platform attributes to ads. Repeat purchases later are not included.
Show the math
| ROAS | $4,000.00 รท $1,000.00 = 4x |
|---|---|
| Gross profit from those sales | $4,000.00 ร 40% = $1,600.00 |
| Profit after ads | $1,600.00 โ $1,000.00 = $600.00 |
| ROI | $600.00 รท $1,000.00 = 60% |
| Break-even ROAS | 1 รท 40% = 2.5x |
What to do next
How it works
ROAS is revenue divided by ad spend. To see whether that is profitable, the calculator multiplies the revenue by your margin, subtracts the ad spend and divides the result by the spend for ROI.
Break-even ROAS is the point where the profit from ad sales exactly pays for the ads. It depends only on your margin: 1 divided by the margin.
Things to keep in mind
Ad platforms report the sales they can tie to a click or view. Some buyers would have bought anyway, and some come back months later, so treat the number as a guide.
Your margin should already include product cost, shipping, packaging and marketplace or payment fees. Leaving those out makes a losing campaign look profitable.
Sources
- Google Ads Help, about target ROAS biddingChecked 2026-10-19
Frequently asked questions
How do I calculate ROAS?
Divide the revenue from your ads by what you spent on them. $4,000 in sales from $1,000 in ads is a 4x ROAS, sometimes written as 400%.
What is break-even ROAS?
It is 1 divided by your margin before ad costs. At a 40% margin you need 2.5x just to cover the ads, and at 25% you need 4x.
What is a good ROAS?
Anything above your break-even ROAS makes money on those sales. A 3x ROAS is profitable at a 50% margin but loses money at a 30% margin.
What is the difference between ROAS and ROI?
ROAS compares revenue to ad spend. ROI compares profit to ad spend, so it takes your margin into account. A 4x ROAS at 40% margin is a 60% ROI.