Can formatting affect how an ATS reads my resume?

It can. Workday's documentation says resume parsing results can vary based on resume format and order of words, and Greenhouse documents that a resume can fail to parse and then be kept as an attachment for manual entry. How a specific employer's system behaves depends on the vendor and the employer's settings.

How should I format a resume for ATS?

Use a single-column layout, standard section headings, a readable font, consistent formatting, and the file type the job posting asks for. Avoid graphics and tables, which give software more room to misread your content.

Format or Fail: Why ATS-Friendly Formatting Matters

Formatting is not decoration. It changes what software can read from your resume.

Imagine being well qualified for a role: right degree, right experience, right skills. Now imagine the software that reads your resume misplaces your degree, mixes up your sections, or skips a line. Employers and their systems differ, and nobody outside a given company can tell you exactly what its system does, but the vendors do document some behavior.

What the Vendors Document

Parsing results vary. Workday's documentation on resume parsing says that results can vary based on resume format and order of words.
A failed parse is not necessarily a rejection. In Greenhouse, when a resume does not parse, it can be kept attached to the candidate and details entered manually. Other systems and employer settings differ.

So the practical aim is not to fool a system. It is to make your resume easy for both software and people to read correctly.

Formatting Guidance That Holds Up

CareerOneStop, a US Department of Labor resource, recommends keeping a resume to 1-2 pages, using readable fonts in the 10-12 pt range, conventional headings, and following the employer's instructions when saving and sending. This is practical formatting guidance, not empirical parser validation. Building on it, these editorial recommendations are low-risk defaults:

Standard section headings: "Experience," "Education," "Skills" rather than creative alternatives
Single-column layout: a simple, linear reading order
Readable fonts: common choices such as Arial or Calibri
The file type the posting asks for: if it does not say, a clean .docx or PDF is a reasonable choice
Consistent formatting: the same bullet style and date format throughout
No graphics or tables: text-only content gives software less to misread
Spelled-out and abbreviated terms: for example, "Master of Business Administration (MBA)", so either form is readable

Check Before You Send

Open your resume as plain text and read it top to bottom. If sections run together or lines are out of order, simplify the layout. You can also use FilteredIn's free resume check: paste or upload your resume (PDF or TXT) and, optionally, a job description, and it returns feedback on content and keywords. A score is product feedback, not a prediction of any employer's ATS or decision.

Don't guess whether your formatting reads cleanly.

Check your resume with FilteredIn.

Sources

Workday documentation: Concept: Resume Parsing.
Greenhouse Support: Unsuccessful resume parse.
CareerOneStop (US Department of Labor): Resume formatting.