MRR and ARR Calculator
Monthly recurring revenue, or MRR, is the money that comes in each month from subscriptions. Annual recurring revenue, or ARR, is the same figure over twelve months. Both show a subscription business its steady income.
- Free
- Works offline after your first visit
- Saves on this device
- No sign-up
- Updated
How it works
Multiply the number of paying customers by the monthly price to get MRR. Multiply MRR by 12 to get ARR. This assumes everyone pays the same price, so if you have several plans, add up each plan's total instead.
Worked example
With 120 paying customers at $49.00 a month, MRR is $5,880.00, and the yearly figure, ARR, is $70,560.00.
Questions
Does this count one-off payments?
No. It counts only the regular subscription income. One-off sales and setup fees are left out.
Should discounts be taken out?
Yes, if you want a true picture. Use the price each customer actually pays, after discounts.
Why does ARR look so big?
It is simply MRR times twelve. Use it for yearly planning, but remember that cancellations can lower the total from month to month.
More like this
- Sales Tax CalculatorAdd sales tax to a price, or take it out of a total.
- Net Promoter Score CalculatorPromoter share minus detractor share, from survey counts.
- Markup CalculatorMarkup and margin from cost and selling price.
- Lead Time CalculatorExpected arrival from order date, production and shipping days.
- ROI CalculatorSimple and yearly return on an investment.
- Commission CalculatorCommission from sales, at one flat rate or two rates.