Subscription Refund Calculator

This calculator measures subscription revenue refunded during a reporting period and shows the net amount retained after refunds.

Finance and customer-experience teams can use it to monitor refund exposure, compare offers, and separate cash reimbursement from product return activity.

Enter your values

Result
Subscription refund rate
Net retained revenue
Average refund amount
Revenue retained
  1. Select one reporting period

    Match gross revenue and refunds to the same accounting basis.

  2. Enter gross subscription revenue

    Use revenue before refunds for the denominator.

  3. Enter refunded amount

    Include full and partial cash refunds recorded under the chosen policy.

  4. Add refund count

    Enter the number of refund transactions to calculate an average amount.

  5. Review refund and retention rates

    Use consistent timing when comparing plans, campaigns, or cohorts.

Refund rate = Refunded amount ÷ Gross subscription revenue × 100
Net retained revenue = Gross revenue − Refunded amount
Average refund = Refunded amount ÷ Number of refunds

The rate is revenue-based, not customer-based. If refund count is zero, average refund is shown as $0.

What the result means

The percentage indicates how much gross subscription revenue was returned to customers under the selected reporting method.

Chargebacks, credits, cancellations without refunds, taxes, and processor fee reversals may be recorded separately.

Given

A software subscription records $68,000 of gross revenue and $2,720 in 85 refunds.

Calculation

Refund rate = $2,720 ÷ $68,000 × 100 = 4.00%.
Net revenue = $68,000 − $2,720 = $65,280.
Average refund = $2,720 ÷ 85 = $32.00.

Result

The revenue refund rate is 4.00%, with 96.00% retained.

Should credits be counted as refunds?

Include them only if your reporting treats credits as refunded revenue. Keep the policy consistent across periods.

What happens when there are no refunds?

Enter zero for both refunded amount and refund count. The rate is 0% and average refund is $0.

Can refunded amount exceed gross revenue?

Not under this period-based model. If older sales are refunded in the current month, use a matched cohort or a different accounting view.

Are chargebacks included?

Only if you add them to refunded amount. Many businesses track chargebacks separately because fees and dispute outcomes differ.

How is refund rate different from cancellation rate?

Refund rate measures money returned. Cancellation rate measures subscriptions ended and may involve no refund.