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Excel / Intro / Free practice

Build a Simple FP&A Variance Checklist in Excel

Create a lightweight variance review sheet that flags what needs explanation before the pack goes to leadership.

Preview / read-only

fx  =IF(ABS(F12)>=$J$2,"EXPLAIN","OK")
     | Actual | Budget | Var $ | Var % | Flag   |
     | 128.4  | 120.0  |  8.4  |  7.0% | EXPLAIN|

// Formula bar — materiality flag on variance

01

Prerequisites

  • Comfortable with Excel formulas
  • A budget vs actuals sheet (or a small sample model)
02

Procedure

Run the drill

  1. 01

    Define the variance columns you care about: absolute, percent, and owner.

    Step
  2. 02

    Set materiality thresholds that match how your leadership actually reviews numbers.

    Step
  3. 03

    Flag rows above threshold with a clear status: needs explanation, under review, closed.

    Step
  4. 04

    Add a completeness check so every flagged row has an owner and a note.

    Step
  5. 05

    Lock the checklist structure so the next cycle reuses the same rules.

    Step
OUTPUT

Expected outcome

A calm, repeatable review surface that turns variance hunting into a short, owned list — not a last-minute scramble.

Target state