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Churn Rate Calculator

What is Churn Rate Calculator?

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Churn rate measures the percentage of customers or subscribers who stop using a product or service during a given time period. High churn destroys recurring revenue; reducing churn by just 1–2% can dramatically improve long-term revenue.

DigiCalcs delivers precision-engineered tools for engineers and STEM professionals.

How to Churn Rate Calculator

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  1. 1Count customers at the start of the period
  2. 2Count customers lost (cancelled, not renewed) during the period
  3. 3Churn rate = (Customers lost / Start customers) × 100%
  4. 4Monthly and annual churn compound — 5% monthly churn = 46% annual churn

Worked Examples

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Example 1
Given:1,000 customers start · 30 cancelled
परिणाम:3% monthly churn

Healthy for B2C; high for B2B

Example 2
Given:5% monthly churn
परिणाम:46% annual churn

Nearly half your base gone each year

Monthly churn → Annual customer retention

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Monthly churnAnnual retentionAnnual churn
1%88.6%11.4%
2%78.5%21.5%
3%69.7%30.3%
5%54%46%
10%28.2%71.8%
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Pro Tip

Track revenue churn alongside customer churn — losing a large customer while gaining many small ones can mask a serious revenue problem.

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Did you know?

SaaS companies with sub-2% monthly churn (under 22% annual) are considered healthy. Top-quartile B2B SaaS companies achieve below 1% monthly churn.

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Deep Dive

Read the full guide on how to use this calculator effectively

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Accuracy-checked
Reviewed October 2026
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