🔄 Churn Rate Calculator
Calculate monthly and annual customer churn rate and implied average customer lifetime.
What Is a Good Churn Rate?
Monthly churn benchmarks: World-class SaaS: under 0.5%/month. Good: 1–2%/month. Average: 2–3%/month. High (concerning): 3%+/month. At 5% monthly churn, you lose 46% of your customer base annually. At 1% monthly churn, you lose only 11% annually — a massive difference in business stability.
People Also Ask
Average Customer Lifetime = 1 ÷ Monthly Churn Rate. At 2% monthly churn, average lifetime = 50 months. At 5%, it's 20 months. Cutting churn in half doubles customer lifetime and LTV — often more impactful than doubling acquisition spend.
Customer churn counts the number of customers lost. Revenue churn (or MRR churn) counts the revenue lost — which matters more for variable-price or tiered subscription businesses where losing a large customer hurts more than losing a small one.