Burn Rate Calculator
Calculate gross and net burn rate for your startup. Free browser-based calculator — no sign-up.
How Burn Rate Calculator Works
Gross Burn = total monthly cash spent on all expenses. Net Burn = Monthly Expenses − Monthly Revenue. Net Burn is the number that determines how quickly you consume cash reserves. Track both metrics: gross burn shows your cost structure; net burn reveals actual cash consumption. Y Combinator recommends ensuring net burn stays under 10% of ARR/month for sustainability.
This tool uses industry-standard formulas and calculations to provide accurate results instantly. All calculations happen in your browser — your data never leaves your device, ensuring complete privacy and security.
Whether you're optimizing marketing campaigns, managing finances, or processing data, this tool gives you the precision and speed you need to make informed decisions quickly.
Burn Rate Sustainability Levels
| Label | Meaning |
|---|---|
| Net burn < 10% of ARR/month | Efficient — well within sustainable range |
| Net burn 10–20% of ARR/month | Moderate — typical for growth-stage SaaS |
| Net burn > 20% of ARR/month | High — ensure runway exceeds 18 months |
| Net burn > revenue | Pre-revenue normal — runway is the critical metric to watch |
Frequently Asked Questions
What is burn rate?
Burn rate is the speed at which a startup spends its cash reserves. Gross burn is total monthly cash out. Net burn is monthly cash out minus monthly revenue — the number that tells you how fast your bank balance is actually shrinking.
What is a good burn rate?
There's no universal good burn rate — it's relative to your cash balance and fundraising timeline. What matters is runway: net burn should leave you with at least 18 months of runway at all times, giving time to hit milestones and fundraise.
Gross burn vs net burn — which should I track?
Track both. Gross burn tells you your total cost structure. Net burn tells you your cash consumption rate. Investors ask for net burn when evaluating runway and efficiency.
Is my data stored?
No. Browser-only.
Can I use this on mobile?
Yes.
About This Tool
Built by the Calcyo team and last updated June 2026. All calculations follow industry-standard methodology. No data leaves your browser — calculations run entirely client-side using JavaScript. If you spot an error in the formula or benchmark data, email us at support@calcyo.xyz.