Subscription revenue · SaaS metrics

Monthly Recurring Revenue Calculator

Track recurring revenue movement from new sales, upgrades, downgrades and cancellations.

Monthly revenue inputs

Recurring revenue results

Starting MRR
Ending MRR
Net new MRR
MRR growth rate
Annual recurring revenue
Net revenue retention
Gross revenue retention
Revenue churn rate

How MRR is calculated

Starting MRR equals customers × average monthly revenue. Ending MRR adds new and expansion revenue, then subtracts contraction and churned revenue. ARR is ending MRR multiplied by 12.

Use recurring subscription revenue only. Exclude setup fees, services and other one-time sales.

Worked example

A SaaS business starts with 100 customers paying $50 per month, so starting MRR is $5,000. During the month it adds $800 in new MRR and $300 in expansion MRR, while losing $150 to downgrades and $400 to cancellations. Ending MRR is therefore $5,550, net new MRR is $550, and ARR is $66,600.

How to interpret the results

Net new MRR shows the dollar change in recurring revenue. Growth rate divides that change by starting MRR. Net revenue retention includes expansion as well as contraction and churn, while gross revenue retention excludes expansion so it cannot exceed 100% under this calculator's definition.

Common mistakes

Keep all inputs on the same monthly basis and in the same currency. Do not enter total invoice value for annual contracts unless it has been divided by 12. Avoid counting the same upgrade as both new MRR and expansion MRR, and record a cancellation only when its recurring revenue actually ends.

Limitations

This is a planning calculator, not an accounting statement. Taxes, usage-based revenue, refunds, foreign-exchange changes and contract modifications may require separate treatment. Compare the output with your billing system and accounting policy before using it for reporting or investment decisions.