Free Target CPA Calculator
Work out the highest cost per lead or sale you can afford, based on your sale value, profit margin and close rate. Use it to set target CPA bidding in Google Ads or cost caps in Meta ads.
How to use the target CPA calculator
- Enter your average sale value before GST.
- Enter your gross margin, the share of each sale left after the cost of the product or service.
- Enter the profit you want to keep from each sale, as a share of gross profit.
- If you optimise for leads, add your close rate to see the cost per lead you can afford.
The maths
| Step | Formula | Example |
|---|---|---|
| Gross profit per sale | Sale value x margin | ₹20,000 x 50% = ₹10,000 |
| Break-even CPA | Gross profit | ₹10,000 per sale |
| Target CPA | Gross profit x (1 - profit kept) | ₹10,000 x 60% = ₹6,000 per sale |
| Target cost per lead | Target CPA x close rate | ₹6,000 x 10% = ₹600 per lead |
Using it in Google Ads and Meta
- Google Ads: with conversion tracking in place, set Target CPA bidding near your recent actual CPA, then adjust.
- Meta ads: use the figure as a cost per result cap, or as the line to judge ad sets by.
- Both: track leads that turn into customers, not just form fills, or the CPA will be misleading.
Work out what each click can cost with the max CPC calculator, and check real campaign returns with the ROI calculator.
More free tools and guides
Learn bidding, conversion tracking and campaign structure on live accounts in our Google Ads course.
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Frequently Asked Questions
Is this target CPA calculator free?
Yes. It is free with no sign-up, and your numbers stay in your browser.
What is CPA?
CPA means cost per acquisition, the average ad cost to get one conversion, such as a lead or a sale.
What is the difference between break-even and target CPA?
Break-even CPA is the most you can pay and still not lose money. Target CPA is lower, leaving the profit you want to keep.
Should I use cost per lead or cost per sale?
Use cost per sale if you track sales in the ad platform. If you only track leads, convert your target using your close rate.