If you've ever stared at a blank spreadsheet and didn't know where to start, Copilot just made it easier to begin.
Welcome back to SpireTech's ongoing Excel tutorial series. We're a managed IT services provider in the Portland Metro, and we love making tech approachable for anyone. We started with Excel data cleaning, moved on to avoiding common Excel errors, and last month we looked at using AI in Excel with a focus on Claude. This month is all about Microsoft Copilot in Excel.
What is Copilot in Excel?
Copilot is Microsoft's AI tool, and it's built into the Microsoft 365 apps you already use: Word, Outlook, Teams, PowerPoint, and, of course, Excel. If you're new to Copilot in general, our beginner's guide to Microsoft Copilot covers the basics. Availability does depend on the user’s license, Excel version, platform, privacy settings, and organization’s Microsoft 365 configuration, but most Microsoft 365 business plans now include Copilot in Excel, including editing. A paid Copilot license adds priority access and model choice.
One big difference between Copilot and Claude for Excel comes down to where they live:
- Copilot is built into eligible Microsoft 365 environments. There's nothing extra to install.
- Claude for Excel is an add-in you install separately and use from a sidebar in your workbook.
The newer Copilot experiences in Excel are far more capable. Edit with Copilot, which is now a part of the same Copilot sidebar interface where users can use conversational language to ask Copilot to make formulas, change the spreadsheet, or analyze workbook data within Excel. Copilot can now affect the workbook directly instead of just giving the user suggestions.
With the addition of Edit with Copilot, Copilot's abilities have become more autonomous. Copilot in Excel offers three ways to work: Allow editing, Plan, and Chat only. Allow editing lets Copilot make changes directly in your workbook. Plan mode gives you an opportunity to review its proposed steps first, while Chat only lets Copilot analyze the workbook and answer questions without changing it. For larger requests, Copilot can break the work into steps, perform multistep tasks, and evaluate whether the result matches your request.
For easy setup and to get the most out of Copilot in Excel, editing needs Calculation Options set to Automatic. Currently, on phones Copilot can only chat and cannot make edits.
It also helps to pick the right model for the job. The default model Copilot chooses for you leans toward speed, which is fine for quick edits but not great for complex work. For bigger asks, switch to a higher-performing model. These models evolve quickly; check periodically that you're using a recent model. Copilot can also run Claude models now in addition to GPT models.
Copilot in Excel can use workbooks uploaded to OneDrive and SharePoint, and recent desktop versions can also use saved locally saved workbooks. While being used, it works with the workbook that's currently open. Copilot in Excel does not take information from other files to add to the spreadsheet. Someone can paste or import additional data later to add to it.
What You Can Do with Copilot in Excel
Last month, we talked about using Claude for Excel to make spreadsheets easier. Claude for Excel and Copilot share a lot of similar capabilities. Copilot can help with:
- Formula help: Describe what you want (like "add up sales by region") and Copilot writes the formula
- Data cleanup: Fixing inconsistent formatting, splitting columns, and highlighting duplicates
- Charts and PivotTables: Ask for a visual summary and get one without hunting through menus
- Formatting: Highlighting values, applying conditional formatting, and tidying up tables
- Answering questions about your data: "Which month had the highest expenses?" gets a direct answer
A simple example you can try
Open a spreadsheet saved in OneDrive that has a simple table, like a list of expenses with a date, category, and amount. Then try prompts like these:
- "Format this data as a table."
- "Add a column that shows the month for each date."
- "Create a pivot table that totals amounts by category and month."
- "Highlight any expense over $500."
Check each result before moving on. If something looks off, tell Copilot what's wrong simply, like how you would tell a coworker. Our post on prompt engineering has more tips for getting better answers.
A word of caution we'll keep repeating for as long as this series runs: AI is not always right. Always check its work. Understanding the manual steps from Parts 1 and 2 is what lets you catch a mistake before it ends up in a client report. Copilot is a fast assistant, not a professional accountant.
Want to see how your business can leverage Copilot and your business data? Book a 30-minute consultation with us to find out.
Copilot vs. Claude for Excel: Which One Should You Use?
Here's what we honestly think: both are good, and they're good at different things. Like all other business solutions, you need to decide which one will work best for your circumstances.
Where Copilot is Stronger
- It's built in. If your business has Microsoft 365 Copilot licenses, there's no add-in to install or approve. Copilot being built in is also huge for organizations already plugged into the Microsoft 365 environment.
- Security and governance. For business users, Copilot operates within Microsoft’s enterprise data-protection framework and respects applicable Microsoft 365 permissions, sensitivity labels, and organizational access policies. It does not give a user access to Microsoft 365 content that the user could not otherwise access. Businesses should still verify their identity, sharing, labeling, device, retention, and tenant settings before using Copilot with sensitive information.
- Quick, everyday tasks. Formatting, basic formulas, and simple charts are where Copilot does well.
Where Claude is Stronger
- Complex spreadsheets. Claude for Excel tends to do better at tracing formulas, auditing models, and explaining multi-tab logic, with cell-level citations so you can check its reasoning.
- Explaining things. If you inherited a spreadsheet and have no idea how it works, Claude's prowess in analysis and detailed explanations is hard to beat.
Claude for Excel does not inherit M365 audit activity. Anthropic does offer audit logs and compliance tooling for Enterprise organizations, which can route the telemetry to their own monitoring or SIEM (Security Information and Event Management) tools.
Here's a side-by-side comparison:
| Copilot in Excel | Claude for Excel | |
|---|---|---|
| How you get it | Built into eligible Microsoft 365 environments | Separate add-in, used from a sidebar |
| Where your files need to be | Saved to OneDrive, SharePoint, or local files | Cloud or local files |
| Access to other data | Only the open workbook | Open workbook plus any connectors the organization enables |
| Best at | Quick, everyday tasks: formatting, basic formulas, simple charts | Complex workbooks: tracing formulas, auditing models, explaining multi-tab logic |
| Showing its work | Allows editing, plans, and checks multi-step tasks | Cell-level citations so you can verify its reasoning |
| Security and governance | Operates within applicable Microsoft enterprise data protection, permission, sensitivity-label, and access-policy controls | Anthropic offers audit logs and compliance tooling for Enterprise organizations |
So which should you pick? If your team lives in Microsoft 365 and handles sensitive client data, Copilot is the natural starting point. But if you regularly untangle complicated financial models, Claude is worth your consideration. Plenty of businesses will end up using both, which is why both are on our list of recommended AI tools.
Example Prompts for Copilot in Excel
The simple prompts we included are good to try out what Copilot in Excel can do. But we want to show what some larger asks might look like. Remember, just like good prompt engineering, the trick is being specific: name the sheet, name the columns, and say what you want the result to look like.
Here are two examples you can adapt to your own spreadsheets.
Building a monthly expense summary
"Using the table on the Expenses sheet, create a new sheet called Monthly Summary that totals spending by category for each month. Add a column chart comparing categories, and highlight any category that went up more than 20% from the previous month."
Copilot should create the new sheet, build the totals, add the chart, and apply the highlighting. Before you trust it, spot-check one category for one month against the original data. If the numbers match, you're in good shape.
Cleaning up a messy client list
"On the Clients sheet, split the Full Name column into First Name and Last Name. Make all phone numbers use the format (503) 555-0100, and highlight any rows with duplicate email addresses."
This is the kind of cleanup we did by hand in Part 1, and it's a good test of whether Copilot got it right. Watch for names that don't split neatly (like middle names, suffixes, or "Dr.") and ensure phone numbers and other information are accurate too.
Ready to Put Copilot to Work in Your Spreadsheets?
Copilot can save you real time in Excel, as long as your Microsoft 365 environment is set up for it and your team knows how to check its work. If you're not sure whether Copilot, Claude, or both fit your business, we're happy to walk through it with you. Book a 30-minute virtual IT consultation, and we'll look at what you have and what would actually help.
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
- Part 4: Microsoft Copilot for Excel (you're here!)
Frequently Asked Questions
Q: Is Copilot in Excel free?
A: No, not entirely. It depends on your plan. However, Copilot in Excel (including editing) is included in most Microsoft 365 business plans. With a paid Copilot license, a user has priority access and model choice.
Q: Does Copilot work on spreadsheets saved to my computer?
A: Copilot in Excel generally needs files saved in OneDrive or SharePoint, though you can use local files as well. Claude for Excel can work with local files.
Q: Is my client data safe when I use Copilot in Excel?
A: Copilot inherits your Microsoft 365 protections, like sensitivity labels and Entra ID conditional access, and your files stay inside your Microsoft 365 environment. Copilot also only works with data the signed-in user already has permission to access. That means it's as secure as your permissions are. However, safe use still depends on properly configured permissions, sharing settings, identity controls, devices, retention policies, sensitivity labels, and tenant settings. Businesses should review those controls before using Copilot with sensitive client information.
Q: Can I use Copilot and Claude for Excel at the same time?
A: Yes, plenty of businesses find a mix of Copilot and Claude in Excel to be useful. Use Copilot for quick, everyday tasks and Claude for untangling complex workbooks.