Excel can be complicated. We're trying to make it a little easier. This is the third installment in an ongoing SpireTech tutorial series about Excel. We started with data cleaning techniques and avoiding common Excel errors. This month, we're exploring how AI can make working with Excel more manageable.
If you've been following along, you know Excel can be powerful but also intimidating. The good news is that AI tools can handle a lot of the heavy lifting, like writing formulas, building spreadsheets from scratch, or cleaning up messy data. We'll focus on Claude in this article, and next month we'll cover Microsoft Copilot for Excel.
Understanding AI and LLMs: What You're Actually Working With
Before we dive into using AI with Excel, let's clear up some terminology. You've probably heard terms like "AI," "LLM," and "GPT" thrown around, and it helps to know what they actually mean.
LLMs (Large Language Models) are the "brain" behind AI tools and what the massive amount of training improves. Some major LLMs you'll encounter are:
- GPT (Generative Pre-trained Transformer), created by OpenAI
- Claude, created by Anthropic
- Gemini, created by Google
AI tools are the front end a person interacts with using conversational language. Some AI tools offer access to multiple LLMs while others are limited to one. Copilot is Microsoft's AI tool, which runs on OpenAI's GPT models and Anthropic models.
How AI Can Help with Excel
Building a spreadsheet from scratch is impressive, but it's not the only function AI can help with. It can also do:
- Formula and function help: Describe what you want, and the AI writes the formula
- Complete spreadsheet generation: Describe your needs, and the AI builds the whole thing
- Cleaning up messy data: Things like splitting names into columns, fixing inconsistent date formats, removing duplicates, and standardizing text (like "WA" to "Washington")
- Explaining what a spreadsheet does: Especially useful for spreadsheets you didn't make, ask AI to walk you through it in plain language
- Finding and fixing errors: AI can spot broken references, circular formulas, and calculations that don't add up, then suggest fixes
- Summarizing and analyzing data: Ask questions like "which region had the highest sales last quarter?" and get an answer without building a pivot table
We covered manual data cleanup in Part 1 of this series, and AI can take a lot of that work off your plate too. However, understanding the manual steps is still necessary. Check the accuracy; do not trust that AI will always be correct.
If you're interested in the other ways AI can help your business, book a virtual call with us. We'll walk through what you've got and what could help.
Using Claude to Build Excel Spreadsheets from Scratch
There are two ways to use Claude with Excel. In Claude chat, you can ask for formulas or request a spreadsheet file to download and open in Excel. Claude for Excel is an add-in that lets you work with Claude directly inside an open workbook. We like Claude in Excel because Claude is particularly good at understanding what you need and translating it into a working spreadsheet. It can handle multi-step instructions, apply formatting, and create formulas that actually work together. It impresses us at SpireTech so much that it's one of our three main AI tool recommendations.
That said, do not let Claude for Excel access spreadsheets you don't trust. Instructions hidden with malicious intent can trick the file into doing things it should not. Claude for Excel also does not work on iPad, Android, or older versions of Excel.
Here are two examples: a real one from our own work, and a hypothetical one you can try yourself.
A Real, Internal Example: Our Charitable Donation Tracker
When TurboTax discontinued its ItsDeductible tool, we used Claude to build an ItsDeductible replacement in three prompts. This was done in a separate Claude chat, not with Claude for Excel. It took us less than ten minutes.
The three prompts we used:
- "Create a charitable donation tracker structure with categories matching IRS non-cash contribution guidelines"
- "Add fair market value tables based on Salvation Army value guide with Good/Better/Excellent condition tiers"
- "Format for Excel with clean UI, auto-sum formulas per category, and total donation calculation"
The result was a fully functional charitable donation tracker that categorizes items, assigns fair market values based on condition, and calculates totals automatically. No manual formula writing needed. The charitable donation template is free to use (not even an email required).
Why this approach worked:
- Each prompt built on the previous one
- We were specific about data sources (IRS guidelines, Salvation Army values)
- We defined the user experience we wanted (clean UI, automatic calculations)
- We broke a complex task into manageable steps
A Vehicle Mileage and Expense Log
If someone drives for work and needs to keep a mileage log for tax purposes, this is exactly the kind of small, tedious tracker AI is good at building.
A possible prompt to build this:
"Build me a vehicle mileage and expense log for business tax deductions. Include columns for date, starting odometer, ending odometer, total miles (calculated automatically), trip purpose, and expense category (fuel, parking, tolls, maintenance). Add a running total of miles for the year and apply the current IRS standard mileage rate to calculate my estimated deduction. Format it cleanly with the deduction total highlighted at the top."
Claude can turn that into a working log in one pass, mileage math and deduction rate included. From there, you can iterate. Ask it to add a monthly summary, or a second tab for a different vehicle. Because the request names real columns, a real calculation, and a real output, you get something usable instead of a generic shell you have to finish yourself. Just confirm the mileage rate it used matches the current IRS figure before you rely on it.
What Claude Can and Can't Do
Claude for Excel, Anthropic’s official add-in for Excel, is available to users with Pro, Max, Team, and Enterprise Claude plans and works directly inside Excel. Claude for Excel can:
- Generate new spreadsheet models or populate existing templates
- Work across multi-tab workbooks
- Answer questions about your workbook with cell-level citations
- Adjust assumptions while keeping formula relationships intact
- Identify and resolve errors and their root causes
What it can't do:
- VBA (Visual Basic for Applications)
- Excel macros, which are saved commands and actions for quick reuse
- Replace your judgment about what data to track
- Guarantee 100% accuracy
- Understand your business context without your explanations
The quality of what you get out depends strongly on the quality of what you put in. We also recommend saving your prompts when one works well. You can reuse and adapt it later.
Bottom Line
AI won't turn Excel into something you never have to think about, but it will take a lot of the tedious work off your plate, like writing formulas, building trackers, and cleaning up the messes that pile up over time. The catch is that it's only as good as the instructions you give it, and it still needs you to check its work.
If you'd rather have someone help you figure out where AI fits into your day-to-day work and where it doesn't, we can help with that. We'll talk through your setup and where the right tools can save your team time.
Additional Excel Learning Resources
- W3Schools Excel Tutorial
- Excel Easy - Excel Tutorial on the Net
- Microsoft Excel function list
- MrExcel YouTube Videos
SpireTech's Excel series:
- Part 1: Data Cleaning Techniques
- Part 2: Avoiding Common Excel Errors
- Part 3: Using AI with Excel and Claude for Excel (you're here!)
- Part 4: Microsoft Copilot for Excel (coming up next)
Frequently Asked Questions
Do I need to pay for Claude to use it with Excel? Claude offers a free tier with limited usage. For the official Claude for Excel add-in that integrates with and works inside of Excel, you need a Claude Pro, Max, Team, or Enterprise plan.
How do I know if an AI-generated formula is correct? Test it with sample data where you know the expected result. If the AI created a SUM formula, enter a few numbers you can add in your head and verify the result matches. For complex formulas, break them down and test each part.
Is my data safe when I use AI tools with Excel? It depends on the tool and how you use it. Claude for Excel does not inherit custom organizational retention settings, and its activity is not included in Anthropic’s Enterprise audit logs or Compliance API. Check with IT before using it with confidential or regulated information. If you're copying data into a web-based AI tool, assume it could be used for training unless the provider says otherwise. Never paste sensitive financial data, customer information, or confidential business data into free AI tools.