๐Ÿ“ˆMRR and ARR Calculator

Turn monthly plans and annual prepaid contracts into MRR, ARR and ARPA

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How to use the MRR and ARR calculator

A subscription business is judged by revenue that repeats, not by what happened to land in the bank this month. Enter the price and subscriber count of each monthly plan, plus any annual prepaid contracts, and this calculator returns MRR, ARR and average revenue per account.

Annual contracts are normalized to a month. Prepaid annual deals arrive as one payment, but recurring revenue metrics count only one twelfth of them each month. That keeps monthly and annual customers on the same footing and stops MRR from spiking in whatever month your renewals happen to cluster.

ARR is the MRR shown on screen multiplied by 12, so multiplying the displayed MRR by hand gives exactly the same figure. ARPA divides MRR by total paying customers, which lets you compare a mixed base of monthly and annual subscribers on a per-month basis. One-time setup fees, professional services and overage charges are normally excluded, because they will not repeat next month.

This tool reflects only the values you enter and does not account for discounts, refunds or taxes. Written as of September 2026.

Frequently asked questions

Why divide annual contract revenue by 12?

MRR measures revenue that repeats every month. Counting a full annual payment in the month it was billed makes revenue look like it spiked, which hides the underlying growth trend.

Should setup fees or services revenue be included?

Usually not. Only revenue you expect again next month belongs in MRR, otherwise multiplying by 12 to get ARR overstates the business. Track one-time revenue separately.