How Much MRR Do I Need to Hit $1M ARR?
To hit $1 million in ARR purely from monthly subscribers, you need approximately $83,333 in MRR — this calculator shows how annual contracts can close the gap.
How to use this tool
- Enter monthly recurring revenue (mrr), customers on annual plans and annual contract value (acv) per annual customer in the fields above.
- Results update instantly as you type — or click Calculate.
- Read your arr (from mrr × 12) and the full breakdown beneath it.
The $1M ARR milestone requires roughly $83K in MRR — use this calculator to see how combining monthly and annual plans gets you to that benchmark.
Frequently asked questions
- What is the difference between ARR and MRR?
- MRR (Monthly Recurring Revenue) is the monthly view; ARR (Annual Recurring Revenue) is the annualised view. ARR = MRR × 12. Both measure the same recurring revenue stream but at different cadences.
- Does ARR include one-time fees?
- No. ARR only includes normalised, predictable recurring revenue. One-time implementation fees, professional services, and non-recurring charges are excluded because they do not recur.