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Churn Rate Calculator

Find your customer churn rate, retention rate, and average customer lifespan in seconds — and see how your retention stacks up. Free, private, no sign-up.

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  • Retention & lifespan

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Retention

The number that sets every other number

Churn quietly decides everything else. It sets your average customer lifetime, which sets your LTV, which sets what you can afford to spend acquiring anyone.

Enter customers and revenue lost over a period. You get both churn figures and the gap between them, which is usually where the story is.

What belongs in the denominator

Customer churn = customers lost ÷ customers at the start of the period. The common mistake is including customers you won during the period, which dilutes the rate and makes churn look lower than it is — particularly during a growth month, when you most need the real figure.

  • Customers you started the period with are the only figure that belongs on the bottom of the fraction.
  • Customers you won during the period are left out entirely.
  • Customers you lost during the period are the numerator, whenever they joined.
One month, 400 customers at the start
Started with 400The denominator
Won 60 during the monthExcluded
Lost 20 during the monthThe numerator
20 / 400 = 5% monthly. Counting the 60 would have said 4.3%

A monthly figure compounds

This is the part that surprises people. A number that sounds survivable monthly is a very different number across a year, because each month takes its cut of what is left.

  • 5% monthly churn is roughly 46% annually — you replace nearly half your customer base each year simply to stay level.
  • Which means acquisition has to run at that pace before any growth happens at all.
  • Halving monthly churn does far more for the business than almost any acquisition improvement of the same effort.
What monthly churn costs over a year
2% monthly22%
5% monthly46%
8% monthly63%
Annual equivalent of each monthly rate. The middle row is the example above.

Customer churn versus revenue churn

These can point in opposite directions, and the gap between them is the interesting part. Track both — either one alone can look acceptable while the business has a real problem.

  • Revenue churn = MRR lost ÷ MRR at the start of the period.
  • Losing many small customers shows up badly in customer churn and barely in revenue churn.
  • Losing one large customer does the reverse, and is usually the more urgent of the two.
Same month, two readings
Customer churn
Lost20 of 400
SaysA retention problem
MissesWhich ones left
5.0%
Revenue churn
LostMRR, not headcount
SaysThe big ones left
MissesHow many
11.4%
When revenue churn runs ahead of customer churn, you are losing your larger accounts. That is the more urgent problem.

Negative churn is the goal

When expansion revenue from existing customers exceeds the revenue lost to cancellations, your revenue grows without a single new customer. That is what net revenue retention above 100% describes, and it is the strongest position a subscription business can be in.

  • It makes acquisition a growth lever rather than a treadmill.
  • It is reached through upgrades, seats and usage, not through harder retention alone.
  • The MRR and ARR Calculator breaks the movement down month by month.
A month that ends ahead
Starting MRR
$42,000
Lost to churn
$4,800
Gained from expansion
$7,100
Closing MRR
$44,300
Net revenue retention 105%. Revenue grew without a single new customer.
The short version

Four numbers worth keeping

5%
Monthly churn in the worked example above.
46%
What that compounds to across a year.
100%
Net revenue retention above this means negative churn.
101
Free tools on Parix.ai, none of them behind a sign-up.
Free, and staying free

Why Parix.ai gives this away

We build subscription products, and churn is the number every one of those projects eventually turns on. These tools are the same checks we run for clients, put on a public page — which is why there is no paywall and no sign-up.

Calculate my churn

Who uses it

Customer success teams tracking whether retention work is landing. Founders who need the figure before an LTV calculation means anything. Investors reading a subscription business from the outside.

It feeds these

Churn sets lifetime, so the LTV Calculator and the CAC Calculator are only as good as the figure you put in here.

When retention is the product problem

Most churn is decided in the first fortnight of use, not at the cancellation screen. Our product team works on that end of it.

Questions answered

Frequently asked questions

Everything you might be wondering about the Churn Rate Calculator.

What is a good monthly churn rate?
It depends on who you sell to: businesses on long contracts usually churn less than consumer subscriptions. Rather than chase a single benchmark, compare against your own past months and aim to bring it down.
Should I measure monthly or annual churn?
Monthly for operations, annual for planning. Do not convert by multiplying by twelve, because churn compounds; the calculator also shows the monthly equivalent when you pick a quarterly or annual period.
What is negative churn?
When expansion revenue from existing customers exceeds the revenue you lose, so income grows without new customers.
How is the lifespan worked out?
Average customer lifespan = 1 / churn rate. At 5% a month, that is 20 months.
See it in action

A worked example

Real input, real output — so you know what to expect before you run it yourself.

One month, 400 customers at the start
Sample input
Period: monthly, customers at start: 400, lost: 20, recurring revenue at start: $42,000, revenue lost: $4,800
Sample output
Churn 5.0%, retention 95.0%, average lifespan about 20 months, revenue churn 11.4%. Revenue churn running ahead of customer churn suggests the larger accounts are the ones leaving. Kept up for a year, 5% a month compounds to about 46%.