Net New MRR Calculator

What is Net New MRR? Net New MRR is the net change in Monthly Recurring Revenue over a period after adding gains (new customers, expansions, reactivations) and subtracting losse...

Net New MRR Calculator

Calculate Net New MRR for a period using standard SaaS components (New + Expansion + Reactivation − Contraction − Churn). Includes scenarios, tooltips, and a short “What It Means?” interpretation.

$

Your MRR at the start of the period (e.g., last month’s ending MRR). Used to compute Ending MRR and the Growth Rate.

$

Recurring revenue added from brand‑new customers during the period.

$

Upsells from existing customers (upgrades, more seats, higher tiers).

$

MRR from customers who had churned previously and reactivated during the period.

$

Lost MRR from downgrades of existing customers (enter as a positive number).

$

Lost MRR from cancellations in the period (enter as a positive number).

Scenarios
Try common SaaS scenarios to see how New/Expansion/Churn shape Net New MRR.
Balanced growthExpansion-ledChurn pressureStarting from $0 MRR

Results

  • Net New MRR$
  • Ending MRR$
  • Growth rate (this period)— %
  • Category—

Enter your inputs above to calculate the results.

What is Net New MRR?

Net New MRR is the net change in Monthly Recurring Revenue over a period after adding gains (new customers, expansions, reactivations) and subtracting losses (contraction and churn).

It matters because it connects your go-to-market output to cash-flow durability, unit economics, and ultimately valuation (better Net New MRR usually supports stronger ARR momentum and healthier NRR/GRR outcomes).

Formula

Net New MRR = New MRR + Expansion MRR + Reactivation MRR-Contraction MRR-Churned MRR
Ending MRR = Starting MRR + Net New MRR
MRR Growth Rate (%) = Net New MRR / Starting MRR × 100

Example

Assume your period starts with Starting MRR = $50,000 and the MRR movements are:
  • New MRR = $8,000
  • Expansion MRR = $3,000
  • Reactivation MRR = $500
  • Contraction MRR = $1,000
  • Churned MRR = $2,000
1) Net New MRR: 8,000 + 3,000 + 500-1,000-2,000 = 8,500
2) Ending MRR: 50,000 + 8,500 = 58,500
3) Growth rate: 8,500 / 50,000 × 100 = 17%

How to Use the Net New MRR Calculator

Frequently Asked Questions

What’s the correct formula for Net New MRR (and why might my number look “off” vs ARR growth)?

Use Net New MRR = New + Expansion + Reactivation − Churned − Contraction. If you’re comparing to ARR, remember ARR is just MRR annualized (MRR × 12), so the same movement can look bigger in ARR terms.

How do I split “Churned MRR” vs “Contraction MRR” so I don’t double-count losses?

Put full cancellations in Churned MRR. Put downgrades/removals of seats or add-ons (customers still active but paying less) in Contraction MRR. Don’t include the same customer movement in both.

My Net New MRR is negative even though I added new customers—what usually causes that?

Your losses (Churned + Contraction) exceeded gains (New + Expansion + Reactivation). Check if a few big downgrades/cancellations happened, or if your “Starting MRR” includes accounts that already churned during the period.

Should I include annual prepayments, setup fees, or usage charges in these inputs?

No. Only include the recurring monthly portion (MRR). Convert annual plans to a monthly equivalent and exclude one-time/variable charges.

Sources & Methodology