Spray drying is gaining traction in the pharmaceutical industry as one of the processing methods of choice for the manufacture of solid dosage forms intended for pulmonary, oral, and parenteral delivery. This process is particularly advantageous because of its ability to produce engineered particles with improved efficacy and stability by combining active pharmaceutical ingredients or biologics with appropriate excipients. Moreover, due to its high throughput, continuous operation, and ability to produce thermostable solid powders, spray drying can be a manufacturing method of choice in the production of drugs and other formulations, including vaccines, for global distribution. Formulation design based on a mechanistic understanding of the different phenomena that occur during the spray drying of powders is complicated and can therefore make the use of available particle formation models difficult for the practitioner. This review aims to provide step-by-step guidance accompanied by critical background information for the successful formulation design of spray-dried microparticles. These include discussion of the tools needed to estimate the surface concentration of each solute during droplet drying, their times and modes of solidification, and the amount of glass stabilizers and shell formers required to produce stable and dispersible powders.