Formatting changes the display, not the stored value
Applying percent format doesn't alter what's actually stored in the cell β a value of 0.5 is still 0.5 underneath, and Excel simply multiplies it by 100 and adds a % sign for display purposes. This matters when you reference that cell in another formula: the calculation always uses the real decimal, not the text you see on screen.
A common trap: typing a number into an already-percent cell
If a cell is already formatted as a percentage and you type "50" into it expecting to see "50%," Excel instead reads it as the number 50 and displays "5000%," since it applies the same times-100 display rule to whatever you type. To get 50%, either type "0.5" or type "50%" directly, letting Excel handle the conversion itself.
Frequently Asked Questions
Why does typing 50 into a percent-formatted cell show 5000%?
Because percent formatting always multiplies the underlying value by 100 for display. If the cell already holds or receives the number 50, that becomes 5000% on screen. Type "0.5" or "50%" instead so Excel stores the correct underlying decimal.
Can I use a percent-formatted cell directly in other calculations?
Yes. Formulas always use the actual stored decimal value, such as 0.5, regardless of how the cell displays it, so a percent-formatted cell works normally in any calculation without extra conversion.