SaaS LTV, Churn & Unit Economics Calculator
Model Customer Lifetime Value (LTV), LTV:CAC health ratios, payback periods, and cohort ARR forecasts based on your subscription metrics.
$
Monthly Customer Churn Rate% of users cancelling per month
%
Gross MarginHosting, infrastructure, and API costs excluded
%
Acquisition & Cohort Simulation
Customer Acquisition Cost (CAC)Blended sales & marketing cost per customer
$
Cohort Starting CustomersFor 12-month ARR decay simulation
users
CUSTOMER LIFETIME VALUE (LTV)
$1190.00
Avg customer lifespan: 28.6 months
LTV : CAC RATIO
4.76x
Status: Healthy (Target benchmark: > 3.0x)
CAC PAYBACK PERIOD
6.0months
12-mo cohort ARR: $38,344.68 (65 retained)
12-Month Cohort Retention & ARR Decay Simulation
Simulated customer retention & cumulative cash from 100 starting users| Timeline | Retained Users | Retention % | Cohort MRR | Cumulative Gross Profit | CAC Recovered |
|---|---|---|---|---|---|
| Month 1 | 100 users | $4,900.00/mo | $4,165.00 | 17% | |
| Month 2 | 97 users | $4,753.00/mo | $8,205.05 | 33% | |
| Month 3 | 93 users | $4,557.00/mo | $12,078.50 | 48% | |
| Month 6 | 84 users | $4,116.00/mo | $22,949.15 | 92% | |
| Month 9 | 75 users | $3,675.00/mo | $32,695.25 | 131% | |
| Month 12 | 68 users | $3,332.00/mo | $41,483.40 | 166% |
Reference
SaaS Metric Benchmarks Explained
Key health indicators for subscription businesses.
FormulaLTV & Payback Period
LTV = (ARPU × Gross Margin %) / Monthly Churn %
CAC Payback = CAC / (ARPU × Gross Margin %)
CAC Payback = CAC / (ARPU × Gross Margin %)
The 3:1 Rule: An LTV:CAC ratio of 3.0x is considered the baseline for a sustainable SaaS business. Below 2.0x, customer acquisition costs consume too much cash flow to scale. Above 5.0x indicates under-investment in growth marketing.