MRR & ARR Calculator for SaaS and Startups 2026
This MRR & ARR calculator shows the real recurring revenue health of your SaaS or subscription business in 2026. Enter your paying customers, average revenue per user (ARPU), monthly churn and growth rate; the tool computes current MRR, ARR, net MRR after churn, customer lifetime value (LTV = ARPU/churn), CAC payback and a 12-month MRR projection. Healthy SaaS benchmarks 2026: monthly churn under 2%, net revenue retention above 110%, LTV:CAC ratio above 3:1. Example: 500 customers at EUR 49 ARPU with 3% churn and 8% new-customer growth produces EUR 24,500 MRR / EUR 294,000 ARR today and projects to EUR 41,000 MRR in 12 months if churn is contained. Last updated June 2026.
How to use this calculator
- 01Enter the number of paying customers.
- 02Enter the average revenue per user (ARPU) per month.
- 03Set monthly churn rate and new-customer growth rate.
- 04Adjust the share of annual plans for working capital benefit.
- 05Read MRR, ARR, LTV and the 12-month projection chart.
- •Healthy SaaS churn: < 2% per month (annual < 22%).
- •Great net revenue retention: > 110%.
- •LTV:CAC ratio should be > 3:1 for a fundable SaaS.
- •CAC payback under 12 months is the gold standard.
- •Annual plans improve cash flow by 20–30% but mask churn.
Frequently asked questions
What is the difference between MRR and ARR?
MRR is monthly recurring revenue. ARR is MRR × 12 — your normalised annual run-rate. Investors talk about ARR; founders manage MRR.
What is a good churn rate for SaaS?
B2B SaaS: < 1%/month is excellent, < 2% is healthy, > 5% is critical. B2C: 5–7% is normal — focus on engagement instead of zero churn.
How is LTV calculated?
Simple LTV = ARPU ÷ monthly churn. Better LTV = gross-margin × ARPU ÷ churn. The tool uses the simple version to keep inputs manageable.
What is the LTV:CAC ratio benchmark?
Investors want > 3:1. Under 1:1 you are losing money on each customer; over 5:1 you may be underinvesting in growth.
How do annual plans affect the numbers?
Annual plans collect 12 months upfront — great for working capital and reduces visible churn — but mask the true monthly churn signal. Track both.
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