What does your free tier need to look like?
The moment free users cost more than paid users generate - and the conversion rate that keeps the tier honest.
Your numbers
Starting numbers: A software business with several thousand free users, working out whether the free tier earns its keep. Change anything below.
People on the free tier today.
Share of free users who start paying.
What a paying customer is billed each month.
What one free user costs you a month in hosting, support and abuse.
Share of paying customers who leave each month.
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What the free tier nets you a month
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How it's computed
About this calculator
Freemium is a bet that a small share of free users converts into enough paid revenue to carry everyone else. This model makes the bet explicit: free users convert at your rate into paid subscribers, subscribers pay the monthly price, churn takes its cut - and every free user quietly costs you hosting and support. Net MRR is what survives after the free tier's bill is paid. The break-even conversion rate is the line in the sand: the hosting cost per free user divided by the paid price. Below it, every new free signup makes you poorer. Pull the levers to see how the economics shift with a bigger free base, a higher price, cheaper infrastructure, or better conversion. Then save the model with your own numbers to test where the free tier's limits should sit, stress-test scenarios, and share the case with your team.
Every number on this page is computed live by the LeverMap engine.