Monthly Recurring Revenue (MRR) Calculator
Calculate your current MRR from active paying customers
Use this when you want a clean, comparable Monthly Recurring Revenue number (MRR). Enter paying customers and the average monthly subscription price. Add an optional average discount if you need a “net MRR” view.
Monthly Recurring Revenue (MRR) calculator for subscription businesses
Monthly Recurring Revenue (MRR) is the most common “single number” used to describe recurring subscription income for a month. If you sell subscriptions, retainers, or other recurring plans, MRR is the figure that makes month to month performance comparable. It strips out one time spikes, timing quirks, and accounting noise so you can see whether the recurring engine is growing, flat, or shrinking.
This calculator is locked to one purpose: estimating your current month’s MRR from active paying customers and the average monthly subscription price per customer. It is meant for founders, operators, and finance leads who want a clean recurring revenue baseline they can quote internally, use in dashboards, or compare against targets. It intentionally does not attempt to forecast future MRR, model cohorts, or produce a full SaaS metrics suite.
To use it, enter your number of paying customers (active subscriptions that are billed monthly or equivalent) and your average monthly subscription price per customer. If your customer base includes discounts, enter an average discount percent to estimate a “net MRR” view. The output gives you MRR first, then a simple annual run rate (ARR) and supporting figures that help you sanity check the number.
Assumptions and how to use this calculator
- Paying customers means active customers currently paying for a recurring plan. Free trials, free tiers, and inactive accounts should be excluded.
- Average monthly subscription price should be the recurring subscription price per customer for the month, before discounts if you plan to use the discount input.
- If you enter an average discount percent, the calculator applies it evenly across all paying customers to estimate net recurring revenue for the month.
- MRR here excludes one time setup fees, professional services, hardware sales, usage overages billed irregularly, and any revenue that is not truly recurring.
- This is a current month snapshot. It does not model churn, expansion, upgrades, downgrades, or mid month proration. If those matter, you should compute MRR from your billing system’s recurring line items.
Common questions
What is the difference between MRR and revenue on my bank statement?
Your bank statement shows cash movement. MRR is a recurring revenue metric. Cash can be higher or lower than MRR in a given month because of annual prepayments, failed payments, refunds, timing of collections, one time fees, or non recurring sales. MRR is useful because it keeps the focus on the recurring engine rather than cash timing noise.
Should I include annual plans in MRR?
If you sell annual plans and you want a comparable monthly recurring view, convert annual recurring revenue into a monthly equivalent. In practice, many teams treat annual subscriptions as recurring and spread them over 12 months for reporting. This calculator assumes the “average monthly subscription price” you enter already reflects any annual conversions you want included.
Do I include taxes (VAT, sales tax) in MRR?
Typically, no. Taxes collected on behalf of a tax authority are not revenue. If you want a clean MRR metric for performance tracking, use prices excluding tax. If your pricing is tax-inclusive and you cannot separate it, note that your result will be overstated versus standard SaaS definitions.
What if my customers are on different plans and prices?
That is normal. This calculator uses an average price because it is fast and practical. You can improve accuracy by calculating an actual weighted average price from your billing export (total recurring subscription charges for the month divided by paying customers) and entering that as the average monthly subscription price.
Why does the calculator ask for an “average discount” instead of coupon details?
The goal is a quick, defensible net MRR estimate without forcing you to re-enter your billing system. If discounts vary, estimate a realistic average discount percent across your paying base. If you do not know it, leave it blank and treat the result as gross MRR. For formal reporting, compute net MRR from invoice line items after discounts.