About the Net Revenue Retention Calculator
This net revenue retention (NRR) calculator shows how much recurring revenue you kept from an existing group of customers over a period, after upgrades, downgrades and cancellations. Enter the monthly recurring revenue (MRR) those customers paid at the start, then the expansion, contraction and churned MRR from the same customers during the period.
It returns both net revenue retention (which counts expansion) and gross revenue retention (GRR, which ignores expansion and can never exceed 100%). Founders use it for board decks, finance teams use it to track cohort health, and investors use it to compare SaaS businesses — an NRR above 100% means existing customers grow revenue even with zero new sales.
New customers acquired during the period are deliberately excluded: NRR measures only the starting cohort. If you measure over a month or a quarter, the calculator also compounds the result to an annualized NRR so figures from different periods can be compared.
With the default inputs, the net revenue retention (nrr) is 104%. Change any value above to recalculate instantly.
How to use the net revenue retention calculator
- 1Enter the MRR your existing customers paid at the start of the period.
- 2Add expansion MRR from upgrades, extra seats and cross-sells by those same customers.
- 3Enter contraction MRR from downgrades and churned MRR from cancellations.
- 4Choose the length of the period you measured.
- 5Read NRR and GRR, and use the annualized NRR to compare with published benchmarks.
Formula and method
Net revenue retention compares the recurring revenue a fixed group of customers pays at the end of a period with what the same customers paid at the start. Expansion (upsells, extra seats, price increases) adds to it; contraction (downgrades) and churn (cancellations) subtract. Revenue from customers acquired during the period is excluded.
Gross revenue retention uses the same starting base but ignores expansion, so it is capped at 100% and shows how well you hold on to existing revenue. When the period is shorter than a year, the annualized figure compounds the ratio, assuming the same rate repeats each period.
- Start MRR
- Recurring revenue from existing customers at the start of the period
- Expansion
- Added MRR from those customers (upgrades, seats, cross-sells)
- Contraction
- MRR lost to downgrades by customers who stayed
- Churn
- MRR lost from customers who cancelled
Worked examples
Annual cohort with healthy expansion
Customers started the year at $100,000 MRR. They added $12,000 in expansion and lost $3,000 to downgrades and $5,000 to cancellations, ending at $104,000. NRR is 104% and GRR is (100,000 − 8,000) ÷ 100,000 = 92%.
Quarterly measurement, annualized
Over one quarter the cohort grew from $250,000 to $257,500, a 103% NRR. Repeating that for four quarters compounds to 1.03⁴ ≈ 112.6% annualized NRR, while quarterly GRR is 95%.
Churn outpacing expansion
Losing $8,000 of MRR to downgrades and cancellations while expanding only $1,000 leaves $43,000 of the original $50,000. NRR is 86% and GRR 84%, meaning the business must replace $7,000 of MRR with new sales just to stand still.
Frequently asked questions
What is a good net revenue retention rate?+
For B2B SaaS, NRR above 100% means existing customers grow on their own, and many investors treat 110–120%+ as strong, especially for mid-market and enterprise products. SMB-focused products often run lower because small customers churn more.
What is the difference between NRR and GRR?+
NRR includes expansion revenue, so it can exceed 100%. GRR excludes expansion and only counts what you kept after downgrades and cancellations, so it is capped at 100% and isolates pure retention.
Should new customers be included in NRR?+
No. NRR tracks a fixed cohort: only customers who were paying at the start of the period. Revenue from customers acquired during the period belongs in new-business metrics, not retention.
Is net dollar retention the same as NRR?+
Yes. Net dollar retention (NDR), net revenue retention (NRR) and net retention rate are used interchangeably. They all compare the ending recurring revenue of a starting cohort with its starting revenue.
Can I calculate NRR from ARR instead of MRR?+
Yes. The ratio is the same whether you use monthly or annual recurring revenue, as long as starting, expansion, contraction and churn figures all use the same unit.
Results are estimates for educational purposes and are not financial advice. Rates, fees and terms vary — confirm with your lender or a licensed advisor before making decisions.