Free Tool

Google Ads Budget Calculator

Work backwards from your sales target. See exactly how much you need to spend — and whether it'll be profitable.

Your Numbers

£
Of the clicks that land, how many convert
%
£
%

What You'll Need

Required monthly budget
£0
Clicks needed per month
From your target & conversion rate 0
Cost per sale (CPA)
vs break-even CPA £0
Projected revenue
Target sales × AOV £0
Projected profit after ad spend
Gross profit − ad budget £0
Projected ROAS
0x
Revenue ÷ ad spend
Enter your numbers to see your verdict

How to work out your Google Ads budget

The biggest mistake businesses make is picking a budget out of thin air — "let's try £1,000 a month and see." A budget should be derived from a goal, not guessed. This calculator works backwards from the number of sales or leads you actually want, using only your own numbers — no made-up industry averages.

1. Clicks needed

To get a certain number of conversions, you need enough clicks to produce them at your conversion rate.

Clicks needed = Target conversions ÷ Conversion rate

Want 50 sales at a 3% conversion rate? You need about 1,667 clicks a month.

2. Required budget

Multiply the clicks you need by what each click costs.

Budget = Clicks needed × Cost per click

1,667 clicks at £1.50 CPC ≈ £2,500 per month. That's your starting budget to hit the target.

3. Will it be profitable?

Hitting a target isn't enough — it has to pay. The calculator checks your cost per acquisition against your break-even CPA.

Cost per sale (CPA) = Budget ÷ Target sales
Break-even CPA = AOV × Profit margin
Profit after ad spend = (Sales × AOV × Margin) − Budget

If your cost per sale is below break-even CPA, every sale is profitable before other costs. If it's above, you're paying more to acquire a customer than that customer earns you in gross profit — a signal to improve conversion rate or CPC before scaling.

Why your budget might be higher than you'd like

Two inputs do most of the damage: a low conversion rate and a high CPC. Both inflate the spend needed to hit the same target. The good news is both are improvable:

This is why optimisation often beats simply adding budget: a tighter account hits the same goal for less.

A note on the estimate

This is a planning model, not a guarantee. Real CPC and conversion rate vary by keyword, device, and season, and Smart Bidding needs a learning period before performance stabilises. Use the output as a starting budget and a profitability sense-check, then refine with real account data. For a wider view of what's realistic, read how much Google Ads should cost.

Related tools

Use the ROAS Calculator to pressure-test return and break-even, or the Ad Waste Calculator to see how much an existing account is leaking each month.

Frequently Asked Questions

Work backwards from your goal, not from a random monthly figure. Decide how many new sales or leads you want per month, then divide by your conversion rate to get the clicks you need, and multiply by your cost per click to get the budget. The right spend is whatever buys your target outcomes at a cost per acquisition below your break-even point.
The core formula is: Budget = (Target conversions ÷ Conversion rate) × Cost per click. For example, to get 50 sales at a 3% conversion rate, you need about 1,667 clicks; at a £1.50 CPC that's roughly £2,500 per month. This calculator does the maths and also checks whether that spend will be profitable against your order value and margin.
A good CPA is any cost per acquisition comfortably below your break-even CPA — which is your average order value multiplied by your profit margin. If you earn £52 of gross profit per order (a £150 order at 35% margin), any CPA below £52 is profitable. How far below depends on the other costs and overheads you need the ads to cover.
Usually because your conversion rate is low or your cost per click is high — both inflate the spend needed to hit a target. Improving landing page conversion and Quality Score (which lowers CPC) reduces the budget required for the same number of sales. That's why optimisation often matters more than simply adding budget.

Want this budget
spent properly?

Book a free ad audit. We'll pressure-test your numbers and show you how to hit your target for less.

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