76% of finance teams still rely on spreadsheets for FP&A

Spreadsheets remain the default for financial planning. CFO Connect’s Top CFO Tools Report 2026 found that 76% of surveyed finance leaders use them for financial planning and analysis (FP&A), despite the availability of dedicated software.

It is easy to see the appeal: Excel and Google Sheets give teams a familiar, flexible way to build budgets, adjust forecasts and test assumptions. But as more people, data sources and business entities enter the planning process, keeping those models accurate and up to date can become harder.

So when are spreadsheets enough, and when should you consider specialist FP&A software? This article explores why finance teams continue to rely on spreadsheets, the signs that their setup needs attention and how to decide what comes next.

Key takeaways

• 76% of surveyed finance leaders use spreadsheets for FP&A, showing how widely established this approach remains.

• Review your planning setup when data preparation, version control and input collection delay forecasts or leave too little time for analysis.

• Consider dedicated FP&A software when process improvements no longer solve those problems, while keeping spreadsheets for exploratory work where useful.

Why do businesses still use spreadsheets for FP&A?

For some businesses, spreadsheets still meet their planning needs, so moving to dedicated FP&A software may offer little immediate benefit. Familiarity, flexibility and a manageable planning process can all make staying with the existing setup a practical choice.

Finance teams can adapt models quickly

A finance team can adjust revenue and hiring assumptions or build a new scenario without waiting for a wider systems project. That flexibility matters when the business changes faster than its planning framework.

Teams already understand the working environment

Many finance professionals know how to build and review spreadsheet models. Budget owners may also be comfortable supplying inputs in familiar templates.

Familiarity can reduce the initial learning effort, although a complex workbook can still be difficult for anyone other than its creator to maintain.

A focused planning process may not require another platform

A business with a small number of entities and contributors may be able to plan effectively with well-managed spreadsheets. Dedicated software needs to solve a meaningful problem to justify its cost and implementation effort.

Where spreadsheet-based planning starts to struggle

The pressure often comes from the work around the model: gathering inputs, updating data, checking versions and explaining changes.

Too much time goes into preparing the numbers

If every forecast starts with manual exports from accounting, sales and HR systems, finance may spend more time assembling a dataset than assessing the outlook.

Separate exports can also create differences in reporting periods, categories and definitions. The team then needs to reconcile those figures before using them in the forecast.

Assumptions become difficult to trace

Multiple files and email attachments can leave teams unsure which forecast is current or who changed a driver. They may also struggle to confirm whether a budget owner approved the latest version.

Knowledge sits with one person

A workbook can become a critical dependency when only its creator understands the formulas, links and exceptions. Documentation and review matter even when the model produces reliable results.

Scenario updates become slow

Leadership may need to see how delayed hiring, weaker sales and rising costs would affect the forecast. If each scenario requires substantial manual rebuilding, planning may struggle to keep pace with decisions.

These are reasons to review the process. Whether dedicated software is necessary depends on how effectively the team can resolve those problems within its current setup.

How to improve FP&A before choosing a new platform

Start with the decisions your planning process needs to support. Define the reports and forecasts you need, how frequently they should be updated and who contributes to them. Then strengthen your current spreadsheet setup:

• Keep assumptions separate from calculations and outputs.

• Give every important input a named owner.

• Use consistent templates and a clear version policy.

• Reconcile source data to approved financial records.

• Document formulas, dependencies and review steps.

Measure the workload after making these improvements. Track time spent collecting inputs, preparing forecasts, correcting errors and answering follow-up questions. This will help you identify which problems remain and whether software could meaningfully reduce them.

Test FP&A software against your workflow

If those problems persist, evaluate dedicated FP&A software using your actual planning process. Ask vendors to demonstrate how their platform would connect to your data sources, collect stakeholder inputs and manage approvals.

Include a realistic scenario change, such as revising hiring plans or revenue assumptions, to see how easily the forecast updates.

Include implementation, ongoing administration and training costs in your business case. Compare those costs with the improvements you expect in planning speed, reliability and collaboration.

Spreadsheets may remain useful for exploratory analysis alongside a specialist platform. Define where the approved forecast lives and how changes feed into it, so teams do not maintain competing versions.

How to choose the right FP&A setup for your business

Use the remaining problems to prioritise your requirements. If collecting inputs delays forecasts, focus on collaboration and data connections. If assumptions are difficult to trace, look closely at version control and approval records. If scenario changes require extensive manual work, test how each platform handles updates across the model.

Peer benchmarks can then help you build a shortlist. Consider what businesses of a similar size use, while accounting for differences in entities, data sources and planning complexity.

CFO Connect’s Top CFO Tools Report 2026 reveals the leading dedicated FP&A platforms among surveyed finance leaders, alongside company-size breakdowns.

Download the report to discover what other teams use and identify tools worth evaluating against your requirements.

How can Spendesk support financial planning and budget control?

Reliable planning needs visibility into spending already incurred and commitments still to come. Spendesk’s budget management tools connect budgets to company spending, helping finance and budget owners see what has been spent, what has been committed and what remains available.

Teams can monitor spending against budgets and review the budget impact of purchase requests. Alongside your spreadsheets or dedicated FP&A platform, that visibility can help you assess spending assumptions and identify where expenditure may put pressure on the plan.

Frequently asked questions

What is FP&A?

Financial planning and analysis (FP&A) covers budgeting, forecasting, scenario modelling and performance analysis, including comparing actual results with budgets. It helps businesses understand their financial position and make decisions about future resources and priorities.

Are spreadsheets suitable for FP&A?

Yes, when the model is well controlled and the process remains manageable. Suitability depends on data complexity, collaboration needs, update frequency and review quality, rather than company size alone.

When should a business consider dedicated FP&A software?

Consider specialist software when data preparation, consolidation, version control or stakeholder input repeatedly delays planning. Evaluate whether a platform addresses those problems more effectively than further improvements to your existing process.

Can a team keep working in spreadsheets and still have one approved forecast?

Yes. Maintain a clearly identified master forecast, assign input owners and use a consistent process for reviewing and approving changes. Reconcile its data to approved financial records and make sure everyone knows which version to use.

If competing copies remain difficult to control, consider whether a specialist platform could manage the approved forecast while spreadsheets support exploratory analysis.

About the data

CFO Connect’s Top CFO Tools Report 2026 draws on a survey conducted in June and July 2026, exploring the tools finance leaders use across core finance functions.

About CFO Connect

CFO Connect is a global community of finance leaders founded by Spendesk, offering research, expert insights and opportunities to learn from peers.