Calculate monthly recurring revenue from your plans, including annual and quarterly billing normalized to a monthly amount. Add this month's new, expansion, contraction and churned MRR to see ARR, net new MRR, the MRR growth rate, ARPU and the SaaS quick ratio.
Last updated:
Plans (current customers)
customers
$
Annual prices are divided by 12, quarterly by 3.
customers
$
customers
$
MRR movements this month
$
From brand-new customers.
$
Upgrades, add-ons, extra seats.
$
Downgrades by existing customers.
$
From customers who cancelled.
Enter your values to see the result.
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How to use the MRR Calculator
Enter each plan: its name, billing period, number of paying customers and the price they pay per billing period.
Add this month's MRR movements: new, expansion, contraction and churned MRR (leave 0 if you do not track them).
Read total MRR and ARR, ARPU and the net new MRR.
Check the growth rate and quick ratio to see how healthy the month was.
Scroll down for the per-plan breakdown, the movement table and a 12-month projection; download any table as CSV.
MRR formulas
MRR = Σ (customers × monthly price), with annual price ÷ 12 and quarterly price ÷ 3
ARR = MRR × 12
Net new MRR = new + expansion − contraction − churned MRR
MRR growth rate = net new MRR ÷ starting MRR × 100
ARPU = MRR ÷ paying customers
Quick ratio = (new + expansion) ÷ (contraction + churn)
Example: 120 customers on a $29 plan, 45 on $79 and 30 on a $790 annual plan give 3,480 + 3,555 + 1,975 = $9,010 MRR and $108,120 ARR. With $1,300 net new MRR the month started at $7,710, a growth rate of about 16.9%.
Types of MRR
Component
What it counts
Effect
New MRR
First subscriptions from new customers
Adds
Expansion MRR
Upgrades, extra seats, add-ons from existing customers
Adds
Reactivation MRR
Former customers who come back (add it to new MRR here)
Adds
Contraction MRR
Downgrades and removed seats
Subtracts
Churned MRR
Revenue from customers who cancel
Subtracts
What to exclude: one-off setup or consulting fees, taxes, refunds of past months and non-recurring usage charges. Discounts should be applied, so a customer paying $29 with a 20% discount contributes $23.20.
Frequently asked questions
How do you calculate MRR?
MRR is the sum of the normalized monthly subscription revenue of all paying customers: customers × monthly price for each plan. An annual plan counts as its yearly price divided by 12, and a quarterly plan as its price divided by 3. One-time fees, setup charges and usage overages that are not recurring are left out.
What is net new MRR?
Net new MRR = new MRR + expansion MRR − contraction MRR − churned MRR. It is the change in MRR over the month. For example $1,450 new + $380 expansion − $120 contraction − $410 churn = $1,300 net new MRR.
How is the MRR growth rate calculated?
MRR growth rate = net new MRR ÷ MRR at the start of the month × 100. This calculator treats the plans you enter as the end-of-month MRR, so starting MRR = ending MRR − net new MRR.
What is the difference between MRR and ARR?
ARR (annual recurring revenue or annual run rate) is MRR × 12. It describes the same recurring revenue on a yearly scale and is common for companies that sell annual contracts.
What is ARPU?
Average revenue per user (or per account) is MRR divided by the number of paying customers. It shows how much a typical customer pays per month and is a key input for lifetime value.
What is a good SaaS quick ratio?
The SaaS quick ratio is (new + expansion MRR) ÷ (contraction + churned MRR). Above 1 means MRR grows; a ratio of 4 or more is often cited as a sign of efficient growth, and below 1 means revenue is shrinking.
Should annual prepayments count as MRR?
Yes, but only as one twelfth per month. Counting the full annual payment in the month it is received would overstate MRR; that cash is bookings, not monthly recurring revenue.
Are all the tools on FreeToolCabin tested for quality and accuracy?
Yes! Every tool on our site undergoes automated Q/A testing in real browser environments to ensure high precision, correct output, and zero errors. If you happen to spot a bug or have a suggestion, please contact us at [email protected] and our team will review it right away.