Net New MRR Calculator

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

Net new MRR measures how your recurring revenue changed in a period after accounting for expansions, contractions, and churn. It is a fast read on growth momentum.

Prefer an explanation- Read the guide.
Need definitions- Browse the glossary.
 
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Tip: you can type commas (e.g., 10,000).

Example

Using the default inputs, the result is:
$12,000.00
New MRR
$12,000
Expansion MRR
$8,000
Contraction MRR
$3,000
Churned MRR
$5,000
Starting MRR (optional)
$0
Period length (months)
1
Target net new MRR (optional)
$0

How to calculate

  1. Measure new MRR from new customers in the period.
  2. Measure expansion MRR from existing customers.
  3. Subtract contraction MRR and churned MRR.
  4. Net new MRR is the net change in MRR for the period.

Formula

Net new MRR = new + expansion - contraction - churn
  • All components are measured over the same time window.
  • New MRR excludes expansions from existing customers.

FAQ

Is net new MRR the same as MRR growth rate-
Net new MRR is a dollar amount (change in MRR). Growth rate is net new MRR divided by starting MRR for the period.

Common mistakes

  • Mixing invoiced revenue or cash with MRR movements.
  • Comparing months without considering annual billing seasonality.

How to interpret

How to use net new MRR
  • Track by segment to see which motions produce durable growth.
  • Watch churned MRR trends to avoid growth hiding retention issues.
  • Pair with CAC and payback to judge growth efficiency.

Quick checks

  • Keep time units consistent (monthly vs annual) across inputs and outputs.
  • Segment by cohort/channel/plan before trusting a blended average.
  • Use the related guide to avoid common definition and denominator mismatches.