Course Revenue Calculator
Project online course revenue from students, price, refund rate, and platform fees. Enter values for instant results with step-by-step formulas.
Reviewed by Daniel Agrici, Founder & Lead Developer
Formula
Net Revenue = (Students x Price x (1 - Refund Rate)) - Platform Fees - Processing Fees - Marketing Cost
Where Students is monthly enrollment count, Price is the course cost, Refund Rate accounts for returns, Platform Fees vary by provider (Teachable 5%, Udemy 50%, Thinkific 0%), Processing Fees are ~2.9% + $0.30 per transaction, and Marketing Cost is monthly advertising spend.
Worked Examples
Example 1: Teachable Course Revenue Projection
Problem:You sell a $149 course on Teachable (5% fee + 2.9% processing) with 50 new students per month, 5% refund rate, and $500 marketing spend. Project 12-month revenue.
Solution:Monthly gross = 50 x $149 = $7,450\nRefunds (5%) = $7,450 x 0.05 = $372.50\nNet sales = $7,450 - $372.50 = $7,077.50\nTransaction fee (5%) = $7,077.50 x 0.05 = $353.88\nProcessing = ($7,077.50 x 0.029) + (48 x $0.30) = $205.25 + $14.40 = $219.65\nPlatform monthly = $39\nTotal fees = $353.88 + $219.65 + $39 = $612.53\nNet before marketing = $7,077.50 - $612.53 = $6,464.97\nNet after marketing = $6,464.97 - $500 = $5,964.97\n12-month total = $5,964.97 x 12 = $71,579.64
Result:Monthly Net: $5,965 | Annual Net: $71,580 | Marketing ROI: 1,193%
Example 2: Udemy vs Self-Hosted Comparison
Problem:Compare 100 monthly sales at $99 on Udemy (50% cut, avg sale $15) versus Teachable (5% + processing, $39/month). Include $300 marketing on Teachable.
Solution:Udemy:\nOrganic sales: 100 at avg $15 = $1,500\nUdemy cut: 50% = $750\nNet = $750/month, $9,000/year\n\nTeachable:\nGross = 100 x $99 = $9,900\nRefunds (5%) = $495\nNet sales = $9,405\nFees = ($9,405 x 0.079) + (95 x $0.30) + $39 = $743 + $28.50 + $39 = $810.50\nNet before marketing = $9,405 - $810.50 = $8,594.50\nNet after marketing = $8,594.50 - $300 = $8,294.50\nAnnual = $99,534
Result:Udemy: $9,000/yr | Teachable: $99,534/yr | Self-hosted earns 11x more
Frequently Asked Questions
How do I project online course revenue accurately?
Accurate revenue projections require realistic assumptions about student acquisition, pricing, and retention. Start with your current audience size and apply conservative conversion rates: 1-2% for cold traffic, 2-5% for warm email subscribers, and 5-10% for launch events to engaged audiences. Factor in seasonality, as course enrollments typically peak in January, September, and during Black Friday promotions. Account for all costs including platform fees (5-50% depending on the platform), payment processing (2.9% + $0.30), refund rates (3-8% average), and marketing spend. Build projections for 3 scenarios: conservative (half your expected students), realistic (your expected number), and optimistic (double your expected students). Tracking actual performance against projections monthly allows you to calibrate assumptions over time.
What is a good cost per acquisition for online course students?
A good cost per acquisition depends on your course price and lifetime customer value. As a general rule, your CPA should be no more than 25-33% of your course price for a sustainable business model. For a $100 course, target a CPA of $25-$33. For a $500 course, $100-$150 is acceptable. The most cost-effective acquisition channels are email marketing ($1-$5 CPA for warm subscribers), organic social media ($5-$15 CPA), and YouTube content marketing ($10-$20 CPA). Paid advertising on Facebook and Instagram typically costs $20-$80 per acquisition for courses, while Google Ads can range from $30-$100+. Webinar funnels often achieve the best CPA for higher-priced courses because the live interaction builds trust. If your CPA exceeds your profit per sale, the acquisition channel is unsustainable unless you have upsells or backend products.
How important is marketing budget for course revenue?
Marketing budget is often the most critical factor determining course revenue, yet it is the most commonly underestimated expense by new course creators. Industry benchmarks suggest spending 30-50% of expected revenue on marketing for the first year and 15-25% once you have established organic channels. A course creator spending $0 on marketing will typically rely entirely on organic reach, which grows slowly and unpredictably. Even a modest $500/month budget for Facebook or Instagram ads can generate 10-30 new students per month for a well-positioned course. The key metric is return on ad spend (ROAS), with a healthy target being 3x to 5x (every $1 spent generates $3-$5 in revenue). Reinvesting a portion of profits into marketing creates a growth flywheel. Many successful course creators eventually spend $5,000-$20,000 per month on advertising once they have proven a positive ROAS.
How can I increase revenue from existing course students?
Maximizing revenue from existing students is significantly more profitable than acquiring new ones because you have already paid the acquisition cost. The most effective strategies include creating additional courses that serve the next step in your student's learning journey, offering coaching or consulting upsells at 5-10x the course price, building a membership community with monthly recurring revenue, and creating course bundles at a discount. Email nurture sequences sent after course completion can promote advanced offerings to engaged students. Affiliate partnerships where you recommend complementary courses for a commission add revenue without product creation. Certificate programs that require completing multiple courses incentivize purchasing your full catalog. Data shows that a customer who has purchased one course is 60-70% more likely to purchase a second course from the same creator.
References
Reviewed by Daniel Agrici, Founder & Lead Developer · Editorial policy