Hospital Break-even Calculator

Find the bed occupancy a hospital needs to break even, from monthly fixed costs, revenue per occupied bed-day (ARPOB) and variable cost per bed-day.

Result

Metric		Value

Notes & assumptions: Contribution per bed-day = ARPOB − variable cost. Break-even bed-days = fixed cost ÷ contribution. Occupancy% = break-even bed-days ÷ (beds × 30) × 100.

Disclaimer: This tool provides an indicative estimate for general planning only and is not professional, legal, financial, medical or engineering advice. Reference values are editable defaults that vary by location, vendor, regulation and date. Verify critical figures with a qualified professional. Varada Nexus accepts no liability for decisions made using this tool.

Get expert help

Planning a project?

Share your numbers and we will help you plan the next step.

Contact Varada Nexus for detailed consultation

FAQ

What is ARPOB?

Average Revenue Per Occupied Bed-day — the average revenue a hospital earns for each occupied bed each day.

How is hospital break-even occupancy calculated?

Break-even bed-days = monthly fixed cost ÷ (ARPOB − variable cost per bed-day). Occupancy% = that ÷ (beds × 30) × 100.

What if break-even occupancy exceeds 100%?

It means the current pricing and cost structure cannot break even at full occupancy — ARPOB must rise or costs must fall.