How to use this calculator
- Choose a completed reporting month and enter your MRR from just before that month began. Use the same currency and the same rules for what counts as MRR across all your figures. Choosing a currency labels the amounts; it does not convert them.
- Enter the size of each movement without a plus or minus sign. The calculator adds new, expansion, and reactivation MRR and subtracts contraction and churned MRR. Enter
0if you know a movement did not occur. If you do not know a total, check your report rather than treating it as zero. Use digits with up to two decimal places, without currency symbols or commas. - Read ending MRR and the overall increase or decrease, labeled net new MRR. The chart shows how the balance changes; the table gives the exact movement and balance at each stage. If you have a closing MRR figure in your source report, compare it with this result yourself. The calculator does not receive that figure.
If the reductions would make ending MRR negative, check the month, the amounts, and whether you counted a loss twice. Correct the inputs to get a result.
How the MRR waterfall works
The starting and ending bars rise from zero. Each movement bar starts at the previous balance and ends at the next one, so you can follow the change step by step. The calculator always shows new, expansion, reactivation, contraction, and churn in that order. This is the order used for the calculation, not the order in which customers changed their subscriptions. The chart shows one month's changes; the table gives the exact amounts.
A month with five movements
Start with $10,000 in MRR. Add $1,200 from new customers, $400 from expansion, and $150 from reactivation. Subtract $250 from contraction and $500 from churn. After the first two additions, the balance is $11,600. The remaining changes leave $11,000 in ending MRR, a net increase of $1,000.
Ending MRR is a monthly run rate after the selected month's changes. It is not the revenue recognized during that month. Atlassian describes its MRR as a measure at a point in time that is separate from its recognized revenue.
What the five movements mean
These are common meanings for the five categories. If your billing or analytics report uses different rules, use its categories for the amounts you enter. ChartMogul's movement guide documents one set of definitions.
| Movement | What it records |
|---|---|
| New MRR | Recurring value from a customer's first paid subscription. |
| Expansion MRR | An increase in an existing paying customer's total MRR, such as an upgrade or more seats. |
| Reactivation MRR | Recurring value when a former paying customer returns. This is separate from a first-time customer. |
| Contraction MRR | A decrease in a customer's MRR while they remain a paying customer, such as a downgrade. |
| Churned MRR | Recurring value lost when a customer leaves their last paid subscription. |
A subscription change that leaves MRR unchanged adds nothing to this bridge. Use monthly amounts for all five movements, even if a customer pays annually. For example, a $1,200 annual subscription adds $100 of MRR per month, not $1,200. ChartMogul explains how its MRR report accounts for billing intervals.
When the bridge differs from a report
Check that the starting MRR and all five movements cover the same month, currency, and rules for what counts as MRR. The month field only labels your inputs; it cannot tell whether the month's source data is final. Reports can also group or date subscription changes differently. For example, ChartMogul can count a discount as contraction, and its churn recognition setting can change when a cancellation appears. This calculator cannot inspect those events or check a provider's closing MRR because you do not enter an independent closing figure.
If a movement looks surprising, check the subscription activity in the report you used. To build current MRR from plan counts, prices, and billing terms, use the MRR calculator. For a wider monthly view, use the SaaS metrics calculator. You can find related tools in the SaaS tools catalog.