How to Use Nested IF Function in Excel: 7 Methods

Method 1 – Use Nested IF Function to Find Multiple Results Based on Criteria

• If a student gets 70 or higher, then he will pass.
• If he gets less than 70, then he will fail.
• If there is no mark, the student will be considered absent.

Insert the following formula in cell D5.

2. Find Grade Using Nested IF Function

We will use the nested IF function in Excel to find the grades of some students. It is one of the most used examples to describe the nested IF function. For this example, we will use a dataset containing some students’ marks. The range of marks and corresponding grades are also given. We need to evaluate the grades of the students based on their obtained marks.

Apply the following formula in cell D5:

Method 3 – Apply Nested IF Function to Allocate Vacation Days

Try to allocate a Vacation period for employees of a company. To allocate a vacation period, we have introduced some conditions. If the employment period of an employee is 15 years or more, he will have 25 vacation days. If it is between 9 to 14 years, then he will have 15 vacation days. If the employment period is less than 9 years, he will have 10 vacation days.

Apply the following formula in cell D5 to get the corresponding vacation days.

Method 4 – Use Nested IF Function with Text Condition

We used the nested IF with cell reference. We may need to deal with conditions in text format. Consider the dataset stated below. We have a dataset of some customers who ordered different products of different quantities. For a specific condition, let’s say, if any customer orders more than 50 “Keyboard” at a single time, his order will be delivered. The text condition is “Keyboard”.

Method 5 – Insert Nested IF with Logical Operator

5.1. Nested IF with OR Function

See the application of the OR function with the nested IF function.

Use a dataset that contains information about the sales amount for March & April. We will distribute the Sales Commission based on their sales amount.

Apply the following formula in cell E5.

Note: The Number Format of the range E5:E10 must be set to Percentage. Otherwise, it will show 0.

5.2. Nested IF with AND Function

Apply the AND function with nested IF now. In that case, the formula will be:

Method 6 – Apply Nested IF in Conditional Formatting

• Select the range of data >> go to Home tab >> click dropdown of Conditional Formatting >> select New Rule.

• The New Formatting Rule dialog box will appear.
• Select “Use a formula to determine which cells to format” from the Select a Rule Type field.
• Use the formula below:

• Click Format.

• From the Format Cells dialog box, go to Fill icon >> select a color >> click OK.

• Close the New Formatting Rule dialog box by clicking OK.

You will find that the rows containing “Keyboard” with a quantity of over “50” are highlighted.

Method 7 – Use TODAY Function with Nested IF Function to Determine Payment Status

We need to determine the payment status often. Service-providing organizations need to keep a record of payments of their customers. We can also use the TODAY function nested in the IF function.

We can see the Bills and Paid Amounts of some customers. Using this information, we will try to update the Status column.

Apply the formula below in the first cell (i.e. G5) of the “Status” column

Alternative Approaches to Nested IF Function in Excel

Method 1 – Use VLOOKUP Function

When you are using continuous ranges of numbers, you can use the VLOOKUP function instead of the nested IF function. You need to have a reference table and create the formula with the approximate match. In our case, the Commission table is our reference table. We have a sales amount for each salesman in the dataset and will try to allocate the commission.

Our formula will be:

We used the VLOOKUP function to look for the value of Cell C5 in the second column of the lookup table ranging from Cell C13 to D15. We need to apply the approximate match here, we used TRUE in the last argument of the formula.

Method 2 – Apply IFS Function

The application of the IFS function makes the task of implementing multiple conditions very easy. For a similar dataset as above, our formula will be as below:

Test 1 is to check whether Cell C5 is greater than 5500. If TRUE, then it will show 12 %. Otherwise, it will move to Test 2 and so on.

Method 3 – Insert CHOOSE Function

We can also use the CHOOSE function to check multiple conditions. The CHOOSE function returns a value from the list based on the index number of that value.

Method 4 – Apply SWITCH Function

You can also use the SWITCH function as an alternative to the nested IF function. You need to remember one thing. Use the SWITCH function when dealing with a fixed set of specific values. In the dataset, you can see we have introduced Rank in place of the Sales Range. These specific values of Rank will help us to distribute the commission efficiently.

We have used the following formula in cell E5.

The formula will look for the value of Cell D5. If the value is A, then it will print 5 %, if B then 9 %, and if C then 12 %.

Method 5 – Use CONCATENATE Function

The SWITCH function was introduced in Excel 2016. The older versions don’t have the SWITCH function. You can use the CONCATENATE function in place of the previous method. Apply the formula in cell E5.

We concatenated multiple IF functions. This formula shows 5 % if the value of Cell D5 is A, 9 % if B, and 12 % if C.

Frequently Asked Questions

1. What is the limit of nested IF in Excel?

The maximum number of nested IF functions in Excel depends on the version of Excel you are using.

In Excel 2016 and later versions, the maximum number of nested IF functions is 64. This means you can nest up to 64 IF functions within a single formula.

In earlier versions of Excel, such as Excel 2013 and earlier, the maximum number of nested IF functions is 7.

2. What are the disadvantages of nested IF function?

The formula gets complicated with the application of a lot of IF blocks. It limits flexibility and increases the calculation time compared to other functions like VLOOKUP or SWITCH.

Takeaways from this Article

• The nested IF function allows you to perform more complex calculations in Excel by nesting multiple IF statements within each other.
• To use the nested IF function, you need to specify the logical test or condition that you want to evaluate, as well as the value or action to take if the condition is true or false.
• Using conditional formatting with nested IF allows highlighting cells which is more helpful in practical scenarios.
• You can combine the nested IF function with other functions in Excel, such as the AND and OR functions, to create even more complex logic and calculations.

Things to Remember

• When nesting IF functions, it’s important to ensure that each condition is properly nested and that you use the correct syntax to avoid errors.
• When using nested IF functions, it’s important to use parentheses to group each condition and its corresponding result.
• Consider other functions, such as the VLOOKUP or SWITCH functions, to see if they can simplify your formula.

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