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Understanding complex formulas in Excel just got a lot easier. The new Explain Formula feature turns Copilot into your inline assistant, delivering clear, step-by-step breakdowns directly on the grid, right next to your data, no need to switch context or open the chat pane. 

What makes this especially powerful is that the explanations are contextual, grounded in your actual data and workbook, not generic descriptions. 

By bringing the explanation to where you’re working, Copilot helps you stay in flow. It’s a seamless, in-the-moment experience that makes it easy to scan, understand, and act on formulas right where you need it most. 

How It Works 

Here’s how to get an explanation in just a few clicks: 

1. Select a cell with a valid formula 


2. A Copilot icon appears next to the cell 


3. Click “Explain this formula” from the dropdown 


4. Copilot shows a step-by-step explanation directly on the grid 


5. Need to dive deeper? Click “Chat with Copilot” to continue the conversation in the side pane 

Note: If the Copilot chat pane is already open, the explanation will be displayed there instead of on the grid. 

What It Does: Contextual Formula Explanations

When you select a formula cell, Copilot can now explain what that formula does using a dedicated card shown in the grid. Helping you quickly understand what the formula does based on your actual data and context, not just a generic description. 

This makes it easy to: 
✅ Understand the formula’s goal in your workbook 
✅ Learn how it works, function by function 
✅ Build confidence without ever leaving your sheet 

For example, given this formula: 
=I4 * XLOOKUP(H4, $L$4:$L$7, $M$4:$M$7) 

With just a click, Copilot will explain that: 

Because the explanation is tailored to your actual data and scenario, it’s faster to grasp, easier to verify, and more relevant to your work. Copilot provides the clarity you need right where you need it. 

Copilot Can Explain Any Excel formula 

No matter how simple or complex, Copilot can explain any Excel formula. Whether you’re working with math, logic, references, arrays, or text manipulation, Copilot helps you understand what’s going on and why. 

Availability 

This feature is gradually rolling out to Excel for Windows and Excel for the web. 

Feedback 

We’d love to hear how this new experience is working for you. 

Let us know: 
✔️ Was the explanation clear and easy to understand? 
✔️ Was it easy to access the explanation when you needed it? 
✔️ Did the overall experience feel intuitive and helpful? 

Just click the 👍 or 👎 at the bottom of the Copilot response to share your thoughts. 

Your feedback helps us refine the experience and prioritize what’s next.