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ARR Calculator

Turn monthly recurring revenue into annual recurring revenue.

ANNUAL RECURRING REVENUE
$300,000

ARR = MRR × 12. It annualizes your recurring subscription revenue.

What is ARR?

Annual recurring revenue (ARR) is the annualized value of your recurring subscription revenue. It's the headline number investors and founders track for a subscription business.

ARR = MRR × 12

How to read your result

  • ARR only counts recurring revenue — exclude one-off fees and services.
  • It's simply MRR annualized, so it moves as MRR moves.
  • Use ARR for annual contracts and MRR for month-to-month tracking.
  • Pair ARR growth with net revenue retention for the full picture.

Frequently asked questions

What's the difference between ARR and revenue?

ARR counts only predictable, recurring subscription revenue annualized — it excludes one-time charges, services, and other non-recurring income.

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