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Average Revenue Per Account Calculator

Enter total revenue and number of accounts.

How it is calculated

ARPA is total revenue divided by the number of accounts: ARPA = revenue ÷ accounts. Revenue is the amount earned in one period (a month, a quarter or a year) and accounts is the number of paying accounts counted for that same period. The result covers the same period as the revenue you enter, so monthly revenue gives monthly ARPA. Accounts must be at least 1, otherwise there is no result. The tool shows ARPA in dollars with two decimals, repeats the revenue and shows the account count rounded to a whole number. It is a plain average, so it says nothing about how revenue is spread between large and small accounts.

Worked example

A software company earned 48,250 in a month from 215 paying accounts. ARPA is 48,250 ÷ 215 = $224.42 per account per month. Annualised this is about 224.42 × 12 = $2,693. If the next month adds 10 accounts and revenue rises to 50,000, ARPA is 50,000 ÷ 225 = $222.22, so the average fell even though total revenue grew.

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Common mistakes

  • Mixing periods: annual revenue divided by a monthly account count, or the reverse, gives a number that is 12 times off.
  • Counting free or trial accounts in the account number while revenue comes only from paying ones: this lowers ARPA below what paying customers actually pay.
  • Using the account count at the end of the period when many accounts joined late: they added little revenue but are counted in full, so an average over the period is fairer.
  • Including one-time fees or setup charges in revenue and then treating ARPA as a recurring price.

Sources

About this calculator

Average Revenue Per Account (ARPA) — also called ARPU when measured per user — is a core SaaS and subscription-business metric found by dividing total revenue over a period by the number of active accounts. It condenses a company's entire customer base into a single figure showing how much revenue, on average, each customer generates.

This calculator computes ARPA from total revenue and account count. It's tracked by SaaS finance teams, revenue operations analysts, and startup founders as a key input for forecasting revenue growth, benchmarking pricing tiers against competitors, and — combined with customer acquisition cost (CAC) — judging whether a business is acquiring customers at a sustainable ratio of spend to revenue.

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Comments (1)

  • Editorial team

    The blended average can hide a lot. Enter each plan or customer segment separately, with its own revenue and account count, and compare the results side by side; two tiers can sit far apart even when the overall figure looks steady. Keep the period the same for every run. Do you count a team workspace as one account, or every seat?

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