How is MRR calculated?

Multiply active customers by their average monthly subscription. For 500 customers at $100 the MRR is $50,000.

What growth rate should I use?

Base it on your real acquisition, expansion, and churn trends rather than a round number. The scenario lens then shows what reaching a benchmark or optimized rate adds.

Does MRR include one-time revenue?

No. MRR counts only predictable recurring subscription revenue; one-off fees and usage spikes are excluded so the figure reflects the dependable run-rate.

Why model MRR growth?

A static MRR understates the metric's value. Projecting it at different growth rates prices the upside of faster growth in concrete monthly dollars.

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Monthly Recurring Revenue Calculator

Quantify recurring revenue and the upside of faster growth — and decide whether current MRR and its trajectory justify scaling spend.

Active customers

customers

Avg monthly subscription

Monthly growth

Monthly recurring revenue

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Average

Scenario lens Current · Benchmark · Optimized

Leverage

Formula

MRR = Active customers × Average monthly subscription

Understanding monthly recurring revenue

Reference material — the calculator above stays the primary tool.

What MRR measures

Monthly recurring revenue is the predictable subscription revenue a business earns each month — active customers multiplied by what they pay. It is the base metric of any recurring model because it strips out one-off revenue and shows the dependable run-rate the business operates on.

Paired with a growth rate, MRR becomes forward-looking: the same base compounds very differently at 12% than at 25%, which is what the scenario lens makes visible.

How to read your result

The headline is current MRR. The scenario lens then projects that base at a benchmark and an optimized monthly growth rate, pricing the gap so a growth target resolves into a concrete monthly dollar figure rather than a percentage.

Use it to judge whether the current trajectory clears the bar needed to justify reinvestment.

What moves MRR

MRR grows on three levers. Treat these as orientation, not targets.

Context	Typical median
New customers	Acquisition volume
Expansion	Upsell & seat growth
Price	Average subscription value
Churn	Retained customers

Levers behind the growth rate

The growth assumption is only as good as the motions behind it: acquisition, expansion, pricing, and retention. Use the acquisition and retention calculators to ground the rate in specific gains rather than a round number, then model the result here.

Is MRR enough on its own?

Read MRR alongside annual revenue and churn, which the related tools cover. MRR shows the run-rate but not its durability; a high MRR with high churn is far less valuable than the headline suggests, so pair it with retention.