What Is The COUPNCD Excel Fuction?

The COUPNCD function in Excel is a financial function that is used to calculate the next coupon date after the settlement date. This function helps users determine when the next interest payment will be made on a bond or other interest-bearing security. To use the COUPNCD Excel function, one must input the settlement date, end date, frequency of coupon payments, and a basis for calculating days. The output of this function is a serial number representing the next coupon payment date.

In the following example, we will look into the COUPNCD Excel function and how it is used. The table exhibits the settlement date, maturity date, frequency value and basis value. To find the coupon date, input the formula in cell B6, as illustrated below:



The resultant value will be promptly displayed in cell B6.

Key Takeaways
  • The COUPNCD function in Excel helps calculate the next coupon date after buying a bond, allowing users to determine when the first coupon payment is due.
  • The syntax of the COUPNCD Excel function =COUPNCD (settlement, maturity, frequency, basis).
  • Bonds used to have detachable coupons for periodic interest payments.
  • The frequency argument enables users to calculate the future of a bond or security accurately. It is useful in bond evaluation and coupon payments.


  1. Settlement – (Mandatory) This is the settlement date is the day when a security transaction is completed, and ownership of the security officially shifts from the seller to the buyer.
  2. Maturity – (Mandatory) This is the expiration date of the security.
  3. Frequency – (Mandatory) This is because the frequency of coupon payments determines how often interest is paid on a bond.
1Annual Payment
2Semi-annual Payment

4. Basis – (Optional) This specifies the day count basis that will be utilized.

BasisDay Count Basis
0US(NASD) 30/360
4European 30/360

How To Use the COUPNCD Function in Excel?

To effectively utilize the COUPNCD function in Excel, follow these steps.

#1 – Access from the Excel ribbon

  1. Find the cell where the result will be displayed. Begin by selecting an empty cell of your choosing. Then, select the “Formulas” tab and click OK. 


  2. In the Excel ribbon, click on the “Financial” option.


  3. Let’s look down the drop-down menu and choose the COUPNCD option.


  4. The Function Arguments dialog box opens. Enter the values for the number of arguments in the “settlement,” “maturity,” “frequency,” and “basis” fields. Click on the OK button to continue.


#2 -Enter the worksheet manually

Step 1: Ensure a vacant cell is assigned for the output. Input the COUPNCD formula along with the arguments into the desired cell. Alternatively, you may type “=C” and double-click on the COUPNCD Excel function, enter the arguments, close the braces.

COUPNCD Excel-Step-2-1

Step 2: In order to achieve the desired outcome, please press the Enter key.


Let us look at some examples below to understand the COUPNCD function in detail.

Example #1

In this example, let us use the COUPNCD Excel function to calculate the next coupon date from the settlement date.


Let us follow the steps below.

Step 1: Here, select cell B6 to enter the formula shown below. The basis value is one which represents actual.

= COUPNCD(B2,B3,2,1)

COUPNCD Excel-Example-1-Step-1

Step 2: The resulting value, which is a number, will be displayed in cell B6.

COUPNCD Excel-Example-1-Step-2

Step 3: As seen above, Excel stores dates as serial numbers, and hence, we get a number as the output. When you format cell B6 as a Date, you get the result as shown below.

COUPNCD Excel-Example-1-Step-3

Example #2

Let us assume we have a bond that pays out every two years from February 15, 2019, to February 2, 2022. To determine the next coupon payment date, we can use the COUPNCD Excel function which allows us to correctly estimate the bond’s value. 


To utilize the COUPNCD Excel function, please follow the steps outlined below:

Step 1: In cell B6, enter the following formula.

= COUPNCD(B2,B3,1,0)

COUPNCD Excel-Example-2-Step-1

Step 2: The resulting value will be displayed in cell B6, as shown in the image below.

COUPNCD Excel-Example-2-Step-2

Example #3

In the following example, we will explore the reasons for the occurrence of errors in the COUPNCD Excel function. Look at the table below. Below, we have some data in the table that describes the settlement and maturity dates of two bonds, besides their frequency, and the basis is the default value (0).


Now, to calculate the next coupon date for both bonds, apply the formula. Input it in cells B6 and C6, respectively, as shown below.

= COUPNCD(B2,B3,3,0)

= COUPNCD(C2,C3,2,0)

Press Enter. The resulting values will be displayed in cells B6 & C6.

COUPNCD Excel-Example-1-Step-3-1


In the above example, the #VALUE! Error for the second bond occurred because the settlement date format was wrong.

The #NUM! Error occurs because the frequency values for the coupon payment should be 1,2 or 4.

Important Things To Note

  1. The #NUM! error occurs when the settlement date is after the maturity date, the frequency argument is not 1, 2, or 4, or the basis argument is not 0, 1, 2, 3, or 4.
  2. The #VALUE! error occurs when the settlement date or maturity date is not valid and when any of the arguments given is non-numeric. Dates should be entered in date format or converted using the DATE function to avoid this error. It also occurs when the settlement date is greater than the maturity date.
  3. The COUPNCD Excel function rounds all numbers to the nearest whole number.
  4. Microsoft Excel uses serial numbers to store dates, with January 1, 1900, as serial number 1. All subsequent dates have serial numbers greater than 1.

Frequently Asked Questions (FAQs)

1. What does the COUPNCD function do in Excel?

The COUPNCD function in Excel calculates the next coupon payment date after the settlement date of a security that pays periodic interest. By utilizing this function, investors can accurately determine when they will receive their next interest payment, which is crucial for managing cash flows and making informed investment decisions.

2. How does the COUPNCD function differ from other date-related functions in Excel?

The COUPNCD function in Excel is specifically designed to calculate the next coupon date after a specified settlement date for bonds that pay periodic interest.

Unlike other date-related functions in Excel, such as TODAY or DATE, which deal with general calendar dates, the COUPNCD function caters specifically to bond payments and coupons. By inputting values for the settlement date, maturity date, frequency of coupons, and basis of day count convention, users can accurately determine when the next coupon payment is due on a bond.

This specialized functionality sets the COUPNCD function apart from other generic date functions in Excel, making it an invaluable tool for financial analysts or anyone working with bond investments who needs precise calculations for coupon dates.

3. What are the limitations of using the COUPNCD function in Excel?

The limitations of using the COUPNCD function in Excel are;

• The COUPNCD Excel function may not always produce accurate results if the settlement date falls on a holiday or weekend, as it does not account for these non-business days.
• The function may not work properly if the security has irregular coupon dates or payment schedules. It is important to carefully review and verify the results produced by the COUPNCD Excel function to ensure accuracy before making any financial decisions based on this information.

Download Template

This article must help us understand the COUPNCD Excel Function’s formula and examples. You can download the template here to use it instantly.

Guide to COUPNCD Excel Function. Here we explain how to use COUPNCD function with examples & downloadable excel template. You can learn more from the following articles. –

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