Calculate customer churn and retention rates, with optional revenue churn.
Calculated locally in your browser.
How is churn rate calculated?
Churn rate = customers lost ÷ customers at start × 100, and retention rate = 100 − churn rate. Average customer lifetime ≈ 1 ÷ churn rate, while revenue churn = recurring revenue lost ÷ recurring revenue at start × 100. For example, losing 25 of 500 customers in a month is 5% churn, 95% retention and about a 20-month average lifetime.
Understanding your result
Lower churn means customers stay longer, which compounds growth and raises lifetime value. Customer churn counts logos lost; revenue churn weights each customer by the recurring revenue they took with them, so losing big accounts shows up clearly. New customers do not reduce the churn rate itself — they are tracked separately as net growth.
Formula and method
Churn rate = customers lost ÷ customers at start × 100. Retention rate = 100 − churn rate. Average customer lifetime ≈ 1 ÷ churn rate (in the same periods). Revenue churn = recurring revenue lost ÷ recurring revenue at start × 100.
Assumptions and limitations
These rates reflect the customers and revenue you enter for one period, so short periods or small samples can swing the numbers. The lifetime estimate assumes churn stays constant, which rarely holds, and the tool cannot separate voluntary from involuntary churn or seasonality. Use it to track trends over time, not as a precise forecast.
Worked example
Losing 25 of 500 customers in a month is 25 ÷ 500 × 100 = 5% churn, 95% retention and an average lifetime of about 20 months.
How to use this tool
- Enter the number of customers at the start of the period.
- Enter how many customers you lost.
- Optionally add new customers and recurring revenue figures.
- Read the churn rate, retention and lifetime.
Common mistakes to avoid
- Counting new customers as offsetting churn — they are separate.
- Mixing time periods (comparing monthly churn with annual churn).
- Using the end-of-period customer count instead of the start count.
About the Churn Rate Calculator
The Churn Rate Calculator measures the share of customers you lose in a period and the retention rate that remains. It also estimates the average customer lifetime and, optionally, your revenue churn.
Who should use this tool
SaaS founders, subscription businesses, marketers and analysts tracking retention.
Benefits
- Customer churn and retention rates instantly.
- Estimated average customer lifetime in periods.
- Optional revenue (MRR) churn calculation.
- Private — your figures stay in your browser.
Practical use cases
- Reporting monthly or annual churn to your team.
- Estimating customer lifetime for LTV models.
- Comparing churn before and after a retention change.
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Frequently asked questions
What is a good churn rate?
It varies by industry, but many SaaS businesses aim for monthly customer churn below 5% and annual churn in the single digits.
What is the difference between customer and revenue churn?
Customer churn counts how many customers leave; revenue churn measures how much recurring revenue leaves, so losing high-value accounts has a bigger impact.
How is average lifetime estimated?
It is roughly 1 ÷ churn rate. A 5% monthly churn implies an average lifetime of about 20 months.