Neo1 includes built in integration into online finance systems commonly used by SME customers, however it is not possibly to have built-in connectivity to all platforms, especially those which are installed locally on servers and not accessed online via web Browser.


If you do use one of the following finance tools, please use the respective guides to easily integrate Neo1and synchronise your finance and tax codes:



If you are using any other platform, please follow this guide to manually configuring Neo1 and importing your Chart of Accounts and Tax Codes.


Before we start let's clarify the terms in Neo1 - what these mean, and what data you need to source from your own Finance system.


Accounting - The tab within Neo1 which contains the Accounting Segments we need to configure


Accounting Segments - The unique data points in your Chart of Accounts where you need to capture values for each transaction. For example, a segment could be Account Code (also called PL Account, or Nominal Code), Cost Centre, Department, Client or Project. You will already be capturing this detail in your Finance system when you enter an expense or supplier invoice today. 


Segment Values - These are the individual values which fall under an Accounting Segment. For example, if your Account Segment was Account Code, a segment value would be a single account such as Meals/Subsistence. As another example, if your Account Segment was Cost Centre, a Segment Value would be a single Cost Centre value currently used in your Finance system. You will need to know the code and name. The code is the value your Finance system uses and will expect to see when you import extractions during the extract process. 


Taxes - The tab within Neo1 containing the Tax Codes configured and available to use in your Neo1 setup. By default these are set up for your countries default but the codes may need changing to match your own currently stored in your Finance system.


Tax Code - The individual codes stored in Neo1. These are made up of a Code, Rate and Description. The Code should match the Tax Account/Code that your Finance system has configured today. The description is used in Neo1 to guide the user what code has been used for a transaction.


The following steps will take you through setting up Neo1 manually for your business.


Step 1: Plan your implementation


Gather the information needed from your Finance system, and plan your implementation. You need to decide which Accounting Segments to use, and these should cover all of the data points you need to be able to post a transaction into your Finance tool. If you wish to also assign spend to a project or client, include these as Accounting Segments you wish to setup. 


You can also set dependencies between segments. This is optional advanced configuration, but as an example you could have a dependency set up between Client and Project, where projects valid only to a specific client will be displayed to a user to mitigate against any incorrect coding being submitted.


An example would be:


Segment NumberAccounting Segment NameFree Text or Closed ListMandatory?Parent Segment
1Account CodeClosed List (a drop down of values)Yes
2Cost CentreClosed List (a drop down of values)Yes
3ClientClosed List (a drop down of values)No
4ProjectClosed List (a drop down of values)No3 (Client)


Once you have planned your Accounting Segments, find out if you can export the Segment Values from your Finance system. If this is possible it will speed up your data entry into Neo1.


Finally, decide what Tax Codes or Tax Accounts your Finance system expects to see for each transaction so we can update the Taxes in Neo1. 


Step 2: Configure your Accounting Segments in Neo1


Login into Neo1 as an Administrator, click Settings and choose the Accounting tab from the top menu. For each Accounting Segment you wish to configure, click the Edit button. 




The Edit Account Code panel will open. Here you need to define the Name of your segment, the Value type (free text or closed list), if there is a Parent Segment (optional) and if this is Required ( is completion mandatory by users).




Here you also need to define the Default Coding Sources. This is where you define which Neo1 element decides which default element to use when a user is managing a transaction. Setting this up drastically improves the experience for your users and ensures that the correct coding is applied to transactions.


The available sources are:


Spend Request - Used when users request a spend request/budget and complete the optional coding. We recommend this is set as source number 1.


Expense Type - Used when a user selects an expense type, and is typically used to drive the Account/PL/Nominal code.  For example, select Accommodation as an expense type and the Hotel/Travel Account code from your Finance system is used.


User - Driven from the user profiles (we set user defaults in Step 6). This is used for coding which is driven by the employee, such as their default cost centre, department, or if they only work on a single client or project. 


At this stage, credit card is not used.


Based on our example Accounting Segments given in Step 1, we recommend the below configuration for Default Coding Sources:


Segment NameDefault Coding Source #1Default Coding Source #2Default Coding Source #3
Account CodeSpend RequestExpense Type-
Cost CentreSpend Request
User
-
ClientSpend Request
User-
ProjectSpend RequestUser-


The finished Edit Account Code panel for our first segment looks like this:



Click Done when you have finished. Now complete this for the additional Accounting Segments you need to configure, up to a maximum of 20 segments. A completed example for our example segments shown below:




Step 3: Load your Segment Values in Neo1


Once you have set up your Accounting Segments, those that are Closed list need to have the available segment values loaded into Neo1. For example, these will be your Account Codes and Cost Centres from your Finance system. 


For each Accounting Segment, click View. The codes which have been loaded so far will be displayed. From here, click Create Value to begin loading new codes.



Create a segment value by providing the Code (from your Finance system), Value Name and any Description 



You can also provide an Owner if you wish for all spend assigned to this code to be approved by whom you select. This approval workflow runs in parallel to the HR supervisor approval. 


Provide a Parent Value if you have configured a Dependant Segment for this Accounting Segment. For example, if this were Project X, and belonged to Client 1, this is where I would select Client 1 from the dropdown. 


Click Done when you have finished with the entry and repeat for all of your values for all segments.



Step 4: Configure your Tax Codes in Neo1


Out of the box your Neo1 setup includes tax codes relevant to your country, however you may want to edit the Tax codes to match those used in your Finance system to make it easier to import transactions back in. 


Click on the Taxes tab on the top menu, and you will see the default configuration. If you wish to edit a code click Edit and the code, rate or description as required. Click Save when complete.  This will create a new code, so you will need to Delete the old code.



To create new codes, click on Create Tax and complete the same fields.




Click Save when complete and your new code will be listed in the table.


Next we need to instruct Neo1 which default zero rated tax codes to use in three specific scenarios. These scenarios are:


Tax Code TypeScenario
International Tax Code

Spend outside your home country. For example, if your registered office address is in the UK, spend outside the UK will be treated as international spend, and this Tax Code will be used as default.

Domestic Zero Rated Tax Code
Spend in your home country, but for transactions which are zero rated. For example: flights, public transport.
NA Tax CodeWhen tax is not relevant, for example a Mileage Claim, or the tax code has not been configured for the Expense Type (see Step 5 for instructions on how to do this)


Under Settings, click on the General Configuration tab and find these fields in the page. For each, copy and paste the code value for the zero value tax code you wish to Neo1 to use as the default.



Step 5: Map your Accounting Codes to Expense Types


Now you have added your Accounting Segments and values, the final stage is to map the Neo1 expense types to the relevant codes which should be populated when selected by the user.


It is important this is done to ensure that spend management functions in Neo1 work correctly. When a user is inputting a new transaction for an expense or business purchase, they will need to select the Expense Type most appropriate which will then drive the correct coding and tax code automatically. 


To do this, click on the Expense Types tab under Settings.




Neo1 has a library of Expense Types which are available out of the box. To map these, you click on the Expense Type line (or click on edit) and select the relevant Tax Code (this is for domestic spend, all non-domestic spend will use the default International Tax Code defined in Step 3) and Account Code from the values you entered for this Expense Type. 



You can also rename expense types on this screen to a name more familiar to your employees, or mark certain expense types inactive if they are not needed.


You will need to complete this one-time exercise for all expense types in this list before you can use Neo1 for expense management.


Step 6: Set User defaults


The final step once you have completed your Finance system configuration is to add any defaults to user profiles. In this sample configuration, we will add a Cost Centre default to our user.


Click on the Users module from the left hand menu, and click Edit for the user for whom you are adding the default code.


Scroll down to the Default Coding section of the profile, and select the Accounting Segment you are adding. Choose your Segment Value and click Done when you have added all defaults. 


If you need any help or guidance on any of the above configuration please feel free to reach out to the Neo1 Customer Success team who will be happy to assist you getting up and running. Email help@neo1.com to get started and we will reach out for an implementation support call to make sure you are all set up and ready to use Neo1 to better manage business spend.