SaaS MRR / ARR & Churn Calculator
Calculate Monthly Recurring Revenue, Annual Recurring Revenue, churn rates, and project your SaaS growth over time. Educational use only, not financial or investment advice.
📊SaaS Metrics Input
Enter your subscription revenue data
See Your SaaS MRR, ARR, and Churn in One Place
Enter your MRR, new and churned revenue, and a time horizon to visualize net growth, churn rates, and simple MRR projections over time.
AI Business & Startup Finance Explainer (beta)
Educational only • Not financial advice
Ask things like: "What does my break-even point mean for my business?", "How can I lower my break-even?", "Is my contribution margin healthy?", or "What happens if I increase my price by 10%?"
This AI is experimental and may be inaccurate. Always validate important business, financial, and strategic decisions with qualified professionals before acting on them.
📊Understanding SaaS Revenue Metrics
Monthly Recurring Revenue (MRR) is the predictable revenue a SaaS business earns each month from active subscriptions. It's the foundation of SaaS financial analysis and helps founders, investors, and operators understand revenue health and growth trajectory.
Annual Recurring Revenue (ARR) is simply MRR multiplied by 12. It's commonly used for businesses with annual contracts or to express revenue at a larger scale for investor conversations.
MRR Components
- New MRR: Revenue from brand new customers who subscribed this month.
- Expansion MRR: Additional revenue from existing customers through upsells, upgrades, or add-ons.
- Churned MRR: Revenue lost when customers cancel or downgrade their subscriptions.
- Net New MRR: New MRR + Expansion MRR - Churned MRR. This shows whether the business is growing or shrinking.
🛠️How to Use This Calculator
- Enter your Current MRR: Your total monthly recurring revenue right now. This is the starting point for projections.
- Enter your monthly flows: Input your typical New MRR, Expansion MRR, and Churned MRR per month. Use averages if these vary month to month.
- Add customer counts (optional): If you want to calculate logo churn rate, enter your current customer count and monthly churned customers.
- Set projection horizon: Choose how many months to project (1-60). Longer projections assume constant monthly flows.
- Review results: Analyze your churn rates, growth trajectory, and projected revenue over time.
📉Understanding Churn Rates
Gross MRR Churn Rate
Gross MRR churn is the percentage of starting MRR lost to cancellations and downgrades in a given month. Formula:(Churned MRR / Starting MRR) × 100
A 3% monthly gross churn means you lose about 3% of your MRR each month to cancellations. Over a year, this compounds significantly.
Logo Churn Rate
Logo churn measures the percentage of customers (not revenue) lost each month. Formula:(Churned Customers / Total Customers) × 100
Logo churn and revenue churn can differ significantly. If you lose many small customers but retain large ones, logo churn will be high but revenue churn may be low.
Net Revenue Retention (NRR)
NRR measures how much revenue you retain and grow from existing customers. If NRR is above 100%, your expansion revenue exceeds churn—a strong signal of product-market fit and healthy unit economics.
🎯Industry Benchmarks (General Guidance)
Note: Benchmarks vary widely by industry, company stage, and business model. These are general guidelines, not targets.
| Metric | Early Stage | Growth | Enterprise |
|---|---|---|---|
| Monthly Gross Churn | 3-7% | 2-4% | <1% |
| Annual Logo Churn | 20-40% | 10-20% | 5-10% |
| Net Revenue Retention | 90-100% | 100-120% | 110-130%+ |
⚠️Limitations & Assumptions
- Constant flows: Projections assume new MRR, expansion, and churn remain constant each month. Real businesses see variation.
- No seasonality: This model doesn't account for seasonal patterns in signups or cancellations.
- Simple churn model: Real churn often depends on cohort age, customer segment, and other factors not captured here.
- Educational only: These calculations are for learning and rough planning. Consult financial professionals for business decisions.
❓Frequently Asked Questions
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Master Your SaaS Metrics
Understanding MRR, ARR, and churn is essential for tracking SaaS growth and making data-driven decisions about your subscription business.
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