Order of Operations in Excel: Why Brackets Matter
Excel calculates in a fixed order: brackets, powers, multiply and divide, then add and subtract. See how it changes margin and percentage formulas.
By Ayoub Farid · · 1 min read
=10+5*2 returns 20, not 30. Excel follows the same order of operations as maths class, and it's behind many "my percentage is wrong" moments.
The order
| Order | Operation | Symbol |
|---|---|---|
| 1 | Brackets | ( ) |
| 2 | Negation | - (as in -5) |
| 3 | Percent | % |
| 4 | Powers | ^ |
| 5 | Multiply and divide | * / |
| 6 | Add and subtract | + - |
| 7 | Join text | & |
| 8 | Comparisons | = < > <= >= <> |
Operations at the same level run left to right.
Where it bites
Profit margin
Wrong:
=B2-C2/B2Excel does C2/B2 first, then subtracts from B2. Right:
=(B2-C2)/B2Percent change
Wrong: =B3-B2/B2. Right: =(B3-B2)/B2. See percent change.
Average of two cells
Wrong: =B2+C2/2. Right: =(B2+C2)/2, or simply =AVERAGE(B2,C2).
Price after discount and tax
=B2*(1-C2)*(1+D2)Brackets make each step explicit.
The negative-power surprise
=-2^2 returns 4, because negation happens before the power. Write =-(2^2) if you mean -4.
When in doubt, add brackets
Extra brackets never hurt and make formulas easier to read. Excel colours each pair while you type so you can check they match.
Practise it
Cellio's "Profit & COUNT" lesson mixes cells and operators on real sales and cost data, so you practise writing =B2-C2 and margins before moving on to fill down.
Frequently asked questions
Does Excel follow BODMAS / PEMDAS?
Yes, with brackets first, then powers, then multiply/divide, then add/subtract.
Why is my Excel percentage formula wrong?
Usually a missing bracket: =(new-old)/old, not =new-old/old.
What does the ^ symbol do in Excel?
It raises to a power: =2^3 is 8.
Can I use square brackets in formulas?
No, only round brackets for calculations. Square brackets are used in table references.