Monthly Recurring Revenue (MRR) Calculator
Replace the sample values with your own, in one currency and one reporting period. Enter percentages as whole numbers: 2 for 2%. Calculations run in your browser.
MRR = Paying Customers × ARPA | Variable | Meaning |
|---|---|
ARPA | Average revenue per account per month. |
Paying Customers | Number of active paying customer accounts. |
Worked example
- Paying Customers
- 200
- ARPA (monthly)
- $250
- → MRR
- $50,000
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What MRR measures
MRR is monthly recurring revenue, the normalized monthly subscription revenue base of a SaaS company.
Prepare your inputs
- Choose a reporting date and list active paid subscriptions. Use one policy for discounts, overdue accounts, and cancellation dates, and keep that policy beside the report.
- Convert each recurring charge to a monthly amount. Divide an annual subscription by 12; exclude setup work and other one-time charges. Sum the normalized amounts.
- Reconcile the closing balance: opening MRR plus new business, expansion and reactivation, less contraction and churn. Investigate any difference before sharing the result.
Formula
MRR = Paying Customers × ARPA | Variable | Meaning |
|---|---|
ARPA | Average revenue per account per month. |
Paying Customers | Number of active paying customer accounts. |
Check the sample calculation
Worked example
- Paying Customers
- 200
- ARPA (monthly)
- $250
- → MRR
- $50,000
Before using the result
- Multiplying customer count by ARPA is a shortcut only when ARPA is measured for that same paying account base.
- Uncommitted usage can fluctuate. State whether your report excludes it, uses a trailing average, or includes a contracted minimum.
- MRR is an operating metric. Reconcile it with billing and accounting reports rather than expecting those reports to be identical.
A dash means the result is undefined for the inputs, such as division by zero. Review the assumptions and input errors before interpreting it.
Read the MRR guide for a business scenario, interpretation, and frequently asked questions.
Check how your team defines MRR before relying on the result.
Sources and methodology
The references below explain the underlying methods. Our worked scenarios use hypothetical figures; they are not company results or current market benchmarks.
- Stripe: Monthly recurring revenue
Definition and recurring versus nonrecurring revenue.
Found an error or a definition that differs from your reporting? Send a correction with the page URL and the method you use.