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MRR Calculator

Use this MRR calculator to compare same period starting MRR, new-logo MRR, expansion, contraction, churn, net new MRR, ending MRR, MRR growth, and ARR run rate for subscription planning.

Planning estimate

Live calculator

MRR

Ending MRR$44,090.00

$2,090.00 net new MRR.

MRR growth5.0%

$3,040.00 new-logo MRR before expansion and churn.

ARR run rate$529,080.00

Ending MRR multiplied by 12.

Planning comparison only. Check estimates, omitted costs, timing, and constraints before making an operating decision.

What it calculates

MRR Calculator uses starting MRR, new customers, average revenue per account, expansion MRR, contraction MRR, and churned MRR to estimate ending MRR, net new MRR, MRR growth, new-logo MRR, and ARR run rate.

Formula

MRR formula

Ending MRR = starting MRR + new MRR + expansion MRR - contraction MRR - churned MRR

Use the same monthly period for all inputs so new, expansion, contraction, and churn are comparable.

How to use

Steps

  1. Enter starting MRR.
  2. Add new customers and average revenue per account.
  3. Enter expansion, contraction, and churned MRR.
  4. Review ending MRR, net new MRR, growth rate, and ARR.

Example

Sample calculation

Starting MRR$42,000
New-logo MRR$3,040
Net new MRR$2,090
Ending MRR$44,090
MRR growth rate5.0%
ARR run rate$529,080

Calculator use

Best for

  • Estimating business pricing, margin, retention, runway, dilution, revenue, or profitability before an operating decision.
  • Comparing base, conservative, and optimistic assumptions with the revenue, cost, churn, or payment timing visible.

Before relying on it

Check first

  • Mixing cash flow, accounting profit, bookings, revenue recognition, one-time fees, and recurring revenue.
  • Leaving out taxes, refunds, discounts, churn, payment delays, support cost, contractor cost, or owner time.
  • Using one optimistic case as the operating plan without checking downside assumptions.

Details

What to know before using the result

New, expansion, contraction, churnSeparate the MRR movements

New-logo MRR comes from new customers. Expansion MRR adds upgrades. Contraction MRR subtracts downgrades. Churned MRR subtracts canceled recurring revenue.

Same period inputsUse one month or cohort

Starting MRR, new customers, expansion, contraction, and churned MRR should refer to the same billing period so net new MRR and growth rate compare cleanly.

ARR run rateEnding MRR times 12

ARR run rate annualizes ending MRR. It is useful for shorthand planning, but it is not a revenue-recognition schedule or a guarantee that churn stays flat.

Next decisionConnect revenue to retention

After checking MRR, review churn rate, LTV/CAC, burn multiple, startup runway, and client profitability before changing hiring, acquisition, or retention plans.

Benchmarks

How to read the result

Negative net new: Shrinking.

Churn and contraction exceed new and expansion MRR.

Flat to modest growth: Stable.

MRR is growing, but the growth rate may not support aggressive hiring.

Strong net new: Growing.

New and expansion MRR materially exceed churn and contraction.

Calculator accuracy

Methodology and assumptions

Formula, inputs, limitations and review record
Formula

Ending MRR = starting MRR + new MRR + expansion MRR - contraction MRR - churned MRR

Inputs used

Starting MRR, New customers, Average revenue per account, Expansion MRR, Contraction MRR, Churned MRR

Limitations

Business results depend on contracts, accounting treatment, taxes, payment timing, refunds, collections, and operating assumptions.

Review record

Catalog QA baseline on June 6, 2026. This date marks the catalog-wide automated and editorial QA baseline, not a tool-specific expert review.

Cite this page

Toolkit Shelf. MRR Calculator. https://toolkitshelf.com/tools/mrr-calculator

FAQ

Common questions

What is MRR?

MRR is monthly recurring revenue, usually used by subscription businesses to track normalized monthly revenue.

What is net new MRR?

Net new MRR is new MRR plus expansion MRR minus contraction and churned MRR.

How do I calculate ARR from MRR?

ARR run rate is commonly estimated by multiplying ending MRR by 12.

What is new-logo MRR?

New-logo MRR is recurring revenue from newly acquired customers. It should be tracked separately from expansion, contraction, and churned MRR.