Free Tool

MRR & ARR Calculator

The numbers your board actually asks about. Calculate gross MRR, net MRR, ARR, net revenue retention, and growth rate -- and see whether you are growing or just treading water.

Base Revenue
$
Monthly Movement
$
$
$
Revenue from cancelled accounts
$
Net MRR
$34,000
$408,000 ARR
Gross MRR
$30,000
ARR
$408,000
Net New MRR
$4,000
Net Revenue Retention
101.7%
MRR Growth Rate
13.3%
📊
Enter your numbers to see your verdict.
MRR Breakdown
Base MRR
$30,000
+ New
+$4,000
+ Expansion
+$2,000
- Churn
-$1,500
- Contraction
-$500
Net MRR
$34,000
MRR Benchmarks
NRR (Best-in-Class)
120 – 130%+
Expansion outpaces churn significantly
NRR (Healthy)
100 – 120%
Existing customers growing net positive
MRR Growth (Early Stage)
15 – 20% / month
Pre-$1M ARR target
MRR Growth (Growth Stage)
5 – 10% / month
$1-10M ARR target
Want to grow net MRR faster? We build the demand gen engine and lifecycle programs that drive new revenue and reduce churn simultaneously.
Learn About the Agency →

MRR and ARR: The Only Revenue Metrics That Matter

Revenue is vanity, MRR is sanity. Here's how to calculate it correctly and what the numbers tell you about the health of your business.

The Five Components of MRR

MRR isn't one number — it's five numbers working together. Understanding each component tells you exactly where your revenue is coming from and where it's leaking.

ComponentWhat It MeasuresWhy It Matters
New MRRRevenue from new customersYour acquisition engine output
Expansion MRRUpsells, cross-sells, upgradesHow well you grow accounts
Churned MRRRevenue from cancelled accountsThe leak in your bucket
Contraction MRRRevenue lost to downgradesOften a warning sign before full churn
Reactivation MRRRevenue from returning customersSometimes the easiest MRR to win

Net Revenue Retention: The Metric Investors Love Most

NRR above 100% means your existing customers are generating more revenue over time — even without new sales. Companies with 120%+ NRR can grow even if they stop acquiring new customers. That's the ultimate sign of product-market fit and customer value alignment. See how we help SaaS companies hit these benchmarks →

Frequently Asked Questions

MRR (Monthly Recurring Revenue) is your predictable monthly revenue from subscriptions. ARR (Annual Recurring Revenue) is MRR multiplied by 12. MRR is better for operational decisions and month-to-month tracking. ARR is better for fundraising, valuation, and annual planning.
Net MRR = Existing MRR + New MRR + Expansion MRR - Churned MRR - Contraction MRR. Net MRR captures the full picture of revenue movement. If your net MRR is growing month over month, you are heading in the right direction.
Net Revenue Retention measures how much revenue you keep and grow from existing customers, excluding new sales. NRR = (Starting MRR + Expansion - Churn - Contraction) / Starting MRR x 100. Above 100% means existing customers are growing faster than they are churning -- the holy grail of SaaS.
Pre-$1M ARR, aim for 15-20% month-over-month growth. $1-5M ARR, 8-12% monthly is strong. $5-20M ARR, 5-8% monthly. Above $20M ARR, 2-5% monthly is healthy. These are net MRR growth rates.

Let's build your pipeline engine.

45-minute diagnostic call. Written report with recommendations. No strings attached.
Book a Growth Audit

Start with a Growth Audit

45-minute diagnostic with our engineering + marketing team.
You get a written systems report. No pitch deck. Just architecture.
Join 60+ teams who started here