Service plan revenue calculator

A service plan's yearly revenue is the customers on it × visits a year × price per visit. This calculator adds the two things that decide what that becomes: how many new plan customers you sign each month and how many leave each year. You get your plan revenue today, what one plan customer is worth, and a year by year view.

Free, no sign-up · Updated November 10, 2026

Your plans

Example numbers

Customers on a plan today

New plan customers a month

Visits a year

2 for twice a year, 4 for quarterly.

Price per visit

Customers who leave a year

Your churn: cancelled or not renewed.

Look ahead

years

What the plans bring in

Plan revenue a year today: $75,000$6,250 a month
One customer, a year: $500
Average stay: 5.0 years
One customer over their stay: $2,500
Plan revenue over 5 years: $493,901
Where the count levels off: 271 customers

A year's churn is spread evenly over its months. New customers start paying the month after they sign up. The average stay is 1 ÷ yearly churn. The starting numbers are examples only.

See how plans put every visit on the schedule

Year by year

Plan customers and plan revenue for each year
Year	Customers at the end	Revenue that year	Running total
1	174	$80,788	$80,788
2	194	$91,770	$172,557
3	209	$100,555	$273,112
4	222	$107,583	$380,696
5	232	$113,206	$493,901

How is service plan revenue worked out?

Today's plan revenue is simple multiplication. The future takes one more step: each month some customers leave and some new ones join, so the calculator works month by month.

plan revenue a year = customers × visits a year × price per visit
one customer a year = visits a year × price per visit
monthly churn = 1 − (1 − yearly churn)^(1/12)
each month: revenue = customers × one customer a year ÷ 12
customers = customers × (1 − monthly churn) + new customers

New customers start paying the month after they sign up. Revenue is spread evenly over the year.

Spreading revenue evenly is a simplification: a twice-a-year plan really pays in two visits. Over a year the total is the same.

What does a worked example look like?

The calculator starts with 150 plan customers, 5 new ones a month, two visits a year at $250, and 20% of customers leaving each year. These are example numbers, not industry averages.

150 plan customers, 5 new a month, 2 visits a year at $250, 20% yearly churn

Customers at the end: 174
Revenue that year: $80,788
Running total: $80,788

Customers at the end: 194
Revenue that year: $91,770
Running total: $172,557

Customers at the end: 209
Revenue that year: $100,555
Running total: $273,112

Customers at the end: 222
Revenue that year: $107,583
Running total: $380,696

Customers at the end: 232
Revenue that year: $113,206
Running total: $493,901

150 plan customers, 5 new a month, 2 visits a year at $250, 20% yearly churn
Year	Customers at the end	Revenue that year	Running total
1	174	$80,788	$80,788
2	194	$91,770	$172,557
3	209	$100,555	$273,112
4	222	$107,583	$380,696
5	232	$113,206	$493,901

Today the plans bring in $75,000 a year. Growth slows each year because more customers means more leavers. On these numbers the count levels off at about 271 customers, where the 5 new ones a month just replace the ones who leave.

What is a plan customer's lifetime value?

A plan customer's lifetime value is what they pay a year times the years they stay. With 20% leaving each year, the average customer stays 5 years, so a $500 a year plan customer is worth about $2,500.

average stay (years) = 1 ÷ yearly churn
value of one customer = one customer a year × average stay

This leaves out the one-off jobs plan customers also buy, so the real value is usually higher.

That number tells you what you can afford to spend to sign one up: a first-visit discount, a free add-on, or a sales rep's commission.

Why does churn matter more than price?

Churn decides where your plan business levels off. With the same 5 new customers a month, cutting yearly churn from 20% to 10% roughly doubles the number of customers you end up keeping, while a price increase only raises what each one pays.

Put every plan visit on the schedule ahead of time, so nobody has to remember to call.
Remind the customer before each visit and ask for a review after it.
Get plans signed, with the visits and the price written down, so renewal is not a new sale.

Our guide to selling service plans covers what to put in a plan and how to offer it at the end of a first job.

Quote and track every job in Birdy

Your price list, minimums and job costs, set up with you on your own data.

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Questions

How do you calculate recurring revenue from service plans?

Multiply the number of plan customers by visits a year and by the price per visit. 150 customers on a two-visit, $250 plan bring in $75,000 a year.

What is churn for a service plan?

Churn is the share of plan customers who cancel or do not renew in a year. If you start the year with 100 and 20 leave, your yearly churn is 20%.

How long does a plan customer stay on average?

About 1 divided by your yearly churn. At 20% churn the average stay is 5 years; at 10% it is 10 years.

Are the starting numbers industry averages?

No. They are examples to show the math. Put in your own customers, prices and churn.

Does the calculator count new customers right away?

A new plan customer starts paying in the month after they sign up, which keeps the projection on the careful side.