ARR Calculator
Roll this month's MRR movements (new, expansion, contraction and churn) into ending MRR, annual recurring revenue and net new ARR.
- Free
- No sign-up to try
- Works as you type
Annual recurring revenue
MRR at the end of the month
$53,800
ARR (ending MRR × 12)
$645,600
Net new ARR this month
$45,600
MRR growth this month
7.60%
- Ending MRR = starting MRR + new + expansion − contraction − churned.
- ARR = ending MRR × 12.
- Net new ARR = (new + expansion − contraction − churned) × 12.
- Growth = net new MRR ÷ starting MRR × 100.
Free, no sign-up to try. Save it as a live calculator you can share; an estimate from the numbers you enter, not financial advice. Check the result against your own records before you rely on it.
How it works
How the ARR Calculator works
- 1
Enter your numbers
Every result updates as you type, with the formula shown under it.
- 2
Check the method
See how each number is worked out and what it assumes.
- 3
Save it as a Room
Share a live calculator: others can change the numbers and see the result update.
Worked example
What it makes
Example inputs
- MRR at the start of the month
- $50,000
- New MRR from new customers
- $4,000
- Expansion MRR (upgrades, seats)
- $1,500
- Contraction MRR (downgrades)
- $500
- Churned MRR (cancellations)
- $1,200
Results
- MRR at the end of the month
- $53,800
- ARR (ending MRR × 12)
- $645,600
- Net new ARR this month
- $45,600
- MRR growth this month
- 7.60%
How it's calculated
- Ending MRR = starting MRR + new + expansion − contraction − churned.
- ARR = ending MRR × 12.
- Net new ARR = (new + expansion − contraction − churned) × 12.
- Growth = net new MRR ÷ starting MRR × 100.
- Assumes: Only recurring subscription revenue counts: one-off fees and services are left out.
- Assumes: ARR is a run rate (this month × 12), not a forecast of the next 12 months.
An estimate from the numbers you enter, not financial advice. Check the result against your own records before you rely on it.
Who it's for
Who uses it
SaaS founders
Report ARR and net new ARR the same way every month.
Finance
Check the MRR bridge adds up before the board pack.
Investors
Rebuild a company's ARR from its MRR movements.
Good to know
What to consider
- ARR here is a run rate (ending MRR × 12), not a forecast.
- Leave out one-off fees and services: they are not recurring revenue.
Questions
About the ARR Calculator
Is ARR just MRR times 12?
For monthly subscriptions, yes: ARR is your recurring monthly revenue at a point in time, annualised. Annual contracts are usually counted at their yearly value, which is the same thing divided into months.
Can I share the calculator with my team or a client?
Yes. The Room keeps the calculator live: anyone with the link can change the numbers and see the result update, with the method and assumptions on the same page.
Make your calculator now
Free, no sign-up to try. It becomes a Room you can edit, publish and share.
Create my calculatorRelated
Related tools
- MRR Forecast CalculatorForecast monthly recurring revenue and annual run rate from your current MRR, growth and churn.
- Net Revenue Retention CalculatorWork out net and gross revenue retention for your existing customers from their starting MRR, expansion, downgrades and cancellations.
- Rule of 40 CalculatorAdd your revenue growth rate to your profit margin and see how far the total sits above or below 40%, plus the margin you need at today's growth.