SaaS ARR Calculator

ARR is the annualized view of recurring revenue — the number investors and boards default to. Start from MRR, or build it from customers and pricing, and see net new ARR from additions and losses.

Inputs

Current MRR

New + expansion MRR this month

Churned + contraction MRR this month

Results

ARR

$222,000

Net new MRR: $1,900.00
Net new ARR (annualized): $22,800
End-of-month MRR: $20,400
End-of-month ARR: $244,800

Formula

ARR = MRR × 12 · Net New ARR = (New MRR − Lost MRR) × 12

FAQ

Is ARR just revenue × something?

ARR is recurring revenue only, annualized. One-time revenue (services, setup fees) is excluded by definition.

When does ARR become the standard metric?

Typically once a company is communicating at a scale where monthly granularity adds noise — many switch around $1M ARR.