PricingNest

MRR Calculator

Calculate ending MRR from new, expansion, contraction, and churned MRR.

Inputs

Scenarios

Applies to the selected input only; adjust other inputs manually if needed.

Results

Ending MRR
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Net new MRR
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MRR growth
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Insights

Auto-generated from your inputs.
Adjust inputs to see recommendations.

Compare

Save a baseline to see deltas for every output.
Ending MRR
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Delta -
Net new MRR
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MRR growth
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Sensitivity

Adjust the input to see how outputs respond to small changes.
Ending MRR
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Net new MRR
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MRR growth
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Guide

This page is a calculator first, but it's also a quick reference you can share internally. Start with the presets, then adjust inputs and copy the share link. Example defaults for this tool are shown below.

Example Inputs Outputs How it works Modeling tips Validation checks Common mistakes Interpretation Use cases Mini walkthroughs Scenarios Edge cases FAQ

Example (defaults)

Example inputs: Starting MRR = 50000, New MRR = 8000, Expansion MRR = 4500

Ending MRR
$58,800.00
Net new MRR
$8,800.00
MRR growth
17.6%

Inputs explained

Input Default Notes
Currency USD Adjust to match your product assumptions.
Starting MRR 50000 Adjust to match your product assumptions.
New MRR 8000 Adjust to match your product assumptions.
Expansion MRR 4500 Adjust to match your product assumptions.
Contraction MRR 1200 Adjust to match your product assumptions.
Churned MRR 2500 Adjust to match your product assumptions.

Outputs explained

Output What it means
Ending MRR A money value based on your selected currency.
Net new MRR A money value based on your selected currency.
MRR growth A percentage value derived from the inputs.

How it works

  • Ending MRR = starting + new + expansion - contraction - churned.
  • Net new MRR = ending - starting.
  • Growth % = net new MRR / starting MRR.

Modeling tips

  • Keep all inputs in the same period and currency (usually monthly).
  • Use net new definitions that match your finance reporting.
  • Exclude one-time fees so MRR reflects recurring revenue.
  • Segment by plan or cohort if churn and expansion differ materially.
  • Use the most recent closed month to avoid partial period noise.
  • Treat reactivations consistently (either as new or expansion) across periods.

Validation checks

  • Ending MRR should equal starting + new + expansion - contraction - churned.
  • Net new MRR should equal ending minus starting.
  • If churned + contraction exceeds new + expansion, growth should be negative.
  • Ending MRR should not be negative; if it is, review churn or contraction inputs.

Common mistakes

  • Mixing bookings or billings with MRR; only recurring revenue belongs here.
  • Double counting contractions and churned MRR in the same period.
  • Using partial-month data that overstates or understates real MRR trends.
  • Treating reactivations inconsistently across months.

Interpretation

  • Use net new MRR as the primary growth signal for the month.
  • If net new MRR is negative, focus on churn and contraction drivers first.
  • Compare expansion to churn to understand how upgrades offset losses.
  • Track this monthly to spot trend changes early.

Use cases

Board reporting
Summarize growth using ending MRR and net new MRR each month.
Pricing change monitoring
Track expansion and contraction after packaging or pricing updates.

Mini walkthroughs

Monthly rollup
  1. Enter starting MRR and all movement inputs.
  2. Review ending MRR and net new MRR.
  3. Use growth percent as a trend indicator.
Churn vs expansion
  1. Increase churned MRR to stress the model.
  2. Adjust expansion MRR to see offsets.
  3. Set targets for net new MRR recovery.

Scenarios

Early stage SaaS
Low starting MRR with small new and expansion to validate baseline growth.
Growth SaaS
Higher expansion MRR to see how upsell drives net new MRR.
Churn pressure
Increase churned MRR to quantify how much new MRR is needed to offset losses.

Edge cases

  • If starting MRR is 0, growth percent is not meaningful; focus on net new MRR.
  • If all components are 0, ending MRR will be 0; confirm you have real inputs.
  • Negative net new MRR indicates contraction + churn exceeds new + expansion.
  • If starting MRR is very small, growth percent will be noisy; use net new MRR for trend.

FAQ

What is MRR?
Monthly Recurring Revenue (MRR) is normalized monthly revenue from subscriptions.
What's the difference between contraction and churned MRR?
Contraction is downgraded revenue from retained customers. Churned MRR is revenue lost from customers that fully cancel.
Does MRR include annual contracts?
Typically you normalize annual contracts to a monthly equivalent (annual contract value / 12) so MRR is comparable across billing terms.
Should I report gross or net MRR?
Use net MRR for growth reporting and track gross MRR to isolate churn impact. Keep definitions consistent across periods.
How do usage-based charges fit into MRR?
If usage is predictable, include a normalized monthly average. Otherwise track usage revenue separately to avoid volatile MRR.