Sensory Integration Therapy Break-Even: $44K Monthly Revenue

Fixed costs $36.2K/mo Base overhead

Contribution margin 84.5% After variable costs

Break-even revenue $42.9K/mo Monthly target

Break-even timing Month 1 Launch month

Break-even calculator

This calculator tests monthly revenue, variable expenses, and fixed costs against break-even for a sensory integration therapy practice.

Lean Base Full

Monthly revenue Revenue sets how much margin is left to cover fixed costs. $ Slow month Peak month Variable expenses These are direct costs that rise with session volume. $ Tight costs High costs

Money available to cover fixed costs $57,537 $70,167 revenue - $12,630 variable expenses

Margin ratio

82%

Covers fixed costs

Yes

Fixed monthly costs This is the monthly overhead the practice must cover. $ Lean overhead Heavy overhead

Break-even chart Revenue Total costs

Which expenses are fixed and which move with therapy volume?

Cost classification

Break-even is only useful if rent, software, supplies, fees, outreach, and credentialing sit in the right buckets. Misclassify a volume-linked charge as fixed, and the Month 1 break-even read can look safer than cash will feel.

Expense	Cost	Break-Even Treatment	Common Mistake
Clinical Facility Lease	Fixed	Include $9,500 per month in fixed overhead before calculating required treatment volume.	Spreading rent across sessions and assuming it falls when visits dip.
EHR Software Subscription	Fixed	Include $450 per month as fixed operating overhead.	Mixing the subscription with per-claim billing fees.
Administrative Office Supplies	Fixed	Include $300 per month as baseline office overhead.	Burying admin spend outside the break-even model.
Therapeutic Supplies and Materials	Variable	Apply the first-year 4.5% rate against revenue or treatment volume.	Treating therapy materials as fixed even when sessions grow.
EHR and Billing Transaction Fees	Variable	Apply the first-year 3.0% rate to billed activity.	Counting only the software fee and missing transaction charges.
Marketing and Referral Outreach	Variable	Apply the first-year 8.0% rate while referral demand is still building.	Locking outreach at one flat number despite growth targets.
Professional Liability and Credentialing	Semi-fixed	Model the first-year 2.5% load, then step it with provider count and credentialing needs.	Leaving credentialing outside break-even when therapists are added.
Utilities and High Speed Internet	Semi-variable	Start with the $850 monthly base and adjust when hours, rooms, or usage expand.	Treating all facility usage as fixed during capacity growth.

How does break-even change from lean to full scale in a sensory integration therapy practice?

Scenario table

Break-even is reached in all three cases, but the cushion grows fast as revenue and utilization scale. The real risk is simple: staffing, payer mix, and room capacity have to keep pace, or the full case will slip.

Planning figures only; actual break-even will move with payer mix, no-shows, and staffing use.

Scenario	Monthly Revenue	Variable Costs	Fixed Costs	CM Ratio	Operating Profit	Break-Even Signal
Lean sensory therapy setup	$702K	$126K	$362K	82.0%	$214K	Break-even sits near $442K, so the cushion is thin.
Base expansion case	$2,112K	$315K	$489K	85.1%	$1,308K	Break-even sits near $574K, leaving a solid buffer.
Full scale therapy center	$4,098K	$529K	$532K	87.1%	$3,037K	Break-even is well covered, but only if capacity holds.

What breaks the break-even plan for this sensory integration therapy practice?

Stress test

The plan clears break-even in the first operating month, but the cushion is thin. A revenue dip of about $260K, a fixed-cost jump to about $575K, or margin pressure that pushes variable costs to about 48.4% can wipe it out.

Stress Case	Changed Assumption	Break-Even Revenue	Revenue Gap	Risk Signal
Current plan	No change.	$442K	$260K cushion	The plan is profitable, but the buffer is only about $260K.
Revenue shortfall	Revenue falls to $442K.	$442K	$0 cushion	Any further drop turns profit negative.
Fixed-cost rise	Fixed costs rise to about $575K.	$701K	$1K cushion	One more rent or staffing increase wipes out profit.
Margin pressure	Variable expense rate rises to 48.4% of revenue.	$702K	$0 cushion	Delayed collections or billing drag erase the cushion.
Combined pressure	Revenue falls to $442K and fixed costs rise to about $575K.	$701K	$259K gap	Low utilization and weak collections put it underwater.

What should a founder verify before signing the lease for a sensory integration therapy practice?

Founder checklist

Month 1 break-even is too early to call the launch safe. Sign the lease and hire only if referrals, pricing, staffing, and cash can carry the Month 2 low point without breaking the $843K cushion.

1Referral flow424 visits/mo

Confirm schools, pediatricians, adult referrals, and self-pay can fill at least 424 visits a month in Year 1, or the fixed base will not clear fast enough.

2Fixed load$12.55K/mo

Sign the lease only if monthly rent and facility or software overhead stay covered, since $9,500 rent plus $3,050 in utilities, cleaning, EHR, supplies, and telecom sets a $12.55K base before payroll.

3Role pricing$90-$350

Check that each role can hold the modeled session or evaluation price, from $90 for pediatric assistant visits to $350 for clinical evaluations, or contribution will miss plan.

4Capacity ramp50%-90%

Verify the opening roster can run at the modeled capacity levels, because Year 1 depends on 70% for senior therapists, 60% for juniors, 50% for adult sensory work, 65% for pediatric support, and 80% for evaluations.

5Cash cushion$843K

Hold enough cash for the Month 2 trough, because minimum cash lands at $843K and the business cannot fund ramp-up if the opening spend is underbuilt.

6Admin coverage$284K/yr

Make sure billing, intake, and credentialing are staffed before insurance cash becomes the plan, since Year 1 admin payroll totals $284K and late claims will slow collection.