Monthly Recurring Revenue (MRR) Calculator [2025]

Financial Forecasting

MRR provides a clear picture of your predictable revenue stream, making it easier to forecast future revenue and plan your budget accordingly.

Growth Tracking

Tracking MRR over time helps you understand your business's growth trajectory and identify trends in customer acquisition, retention, and expansion.

Investor Confidence

Consistent MRR growth is a key indicator of a healthy SaaS business and can attract potential investors.

What is Net New MRR?

Net New MRR is the difference between your new MRR (from new customers and expansions) and your churned MRR (from cancellations and downgrades). It shows the net change in your MRR over a specific period.

How can I improve my MRR?

• Acquire New Customers: Focus on effective marketing and sales strategies to attract new subscribers.
• Reduce Churn: Identify and address the reasons why customers are leaving.
• Increase Expansion Revenue: Encourage existing customers to upgrade or purchase additional products/services.
• Optimize Pricing: Ensure your pricing plans are aligned with the value you provide and consider offering different tiers or add-ons.

What's the difference between MRR and ARR?

MRR (Monthly Recurring Revenue) is the predictable revenue generated each month. ARR (Annual Recurring Revenue) is the annualized version of MRR, calculated by multiplying MRR by 12.