The best way to do this is use a data validation drop down box. I am going
to assume your checkboxes are going in cell B2.

Off in cell AA1, put the word "Contract" without quotes and in AA2 put the
word "Permanent". Then in B2, go to Data-Validation and in the first drop
down box (called "Allow:") select "List". Uncheck the "Ignore Blanks"
checkbox so that a value has to be entered, then in the "Source:" field type
this formula:
=$AA$1:$AA$2
Now when someone goes to that cell, they are forced to select Contract or
Permanent from the drop down list and it will not take any other answer and
will not allow them to just leave it blank.

Your checkboxes idea gets a little more complicated because you have to have
restrictions that one (and only one) box must be checked. If you absolutely
must go this way, post back here that you must do it that way, but hopefully
the answer above gets you there as it is much easier.

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"Pat" wrote:

I would like 2 checkboxes in one cell similar to a yes/no checkbox but with
different corresponding names such as: one checkbox called contract the
other permanent so that the person entering info. chooses one which
identifies an employee as either contract or permanent. Can this be done in
excel?
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Thanks, Pat