1.Bank Accounts

Nodhom accounting system helps you to manage your bank account information and track your bank reconciliation process in the most efficient way. This document provides brief information about the bank account management processes in Nodhom accounting system.

  • Bank Account Creation                                
  • Import Bank Statements
  • Bank Statement Reconciliation
  • Remove redo Bank Statement Records
  • Money Transfer
  • Spend/Receive/Transfer Money

1.1 How to Create a Bank Account 

This user guide will describe how to create a bank account in Nodhom accounting module. 

Step 1: Go to “App Configuration”.

To create a new bank please go to “App configuration” menu which will show different configuration options. Click on “Banks” as per below screenshot. 

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Step 2: Add a new bank.

You will see the list of existing banks. Click on the “New” button to create a new bank. 

Check the existing list of banks first before adding a new bank to the system. The Nodhom accounting module, by default, has several banks already on its database. If your bank is already on the list, skip this step and proceed to step 4. A screenshot of a cell phone

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Step 3: Enter the bank name.

Once you click the “New” button system will display a pop-up to enter a new bank information as below.

  1. Enter the name of the bank in the text box which is a mandatory field. 
  2. Click “Save” button to save the new bank information.
  3. Click “Save and New” button, then the bank information will be saved, and the screen will be refreshed to enter a new bank information.
  4. Click “Cancel” button if you want to exit from the pop-up screen without creating the bank. 

Step 4: Go to “Bank Accounts”.

To create a new bank account please click on the “Bank accounts” menu. 

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Press the “New” button to create a new bank account. Once you press the button it will show a pop-up as below.

Step 5: Fill up the necessary fields

  1. Enter the name of the account which is a mandatory field. 
  2. Select the bank from the list of all banks which is a mandatory field.
  3. Enter the IBAN code of the account. It is an optional field. 
  4. Enter the short/Branch code of the bank.
  5. Enter the nominal code.
  6. Select the type of the account from the list. 
  7. A check box is displayed to set the account as active. By default, the checkbox will be de-selected. Selecting the checkbox will allow you to set the bank account active. 
  8. A check box is displayed to show the bank account on dashboard. By default, the checkbox will be de-selected. Selecting the checkbox will allow you to display the bank account in the dashboard.
  9. Click “Save” button to save your bank account information to the system.
  10. Click the “Cancel” button to exit from the window without creating a bank account.

1.2 How to Import Bank Statements

This user guide describes how to import a bank statement in Nodhom accounting module.

Step 1: Go to “Bank Statements”.

From the ‘Bank Accounts’ screen, click “Bank Statements”.

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Step 2: Go to “Import Bank Statement”.

 In the next screen, you will see all options related to bank statements as below screen.

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Step 3: Follow the instructions on the dialog box.

After clicking the “Import Bank Statements” button, a dialog box will open containing instructions on how to prepare the import data as shown below.

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  • It is important that you download and use the CSV file template provided for download so that the system will accept all the data you want to import.

Step 4: Extract the data from your bank system.

Access your online bank system, select the period of transactions, apply other filter criteria (if required) and download this data in CSV, XLS or any other format, which can be convertible to CSV format.

Step 5: Prepare the CSV data file.

Using the downloaded CSV (comma separated values) template file, transfer the data that you downloaded from your bank system and modify the data in accordance with the requirements listed below. 

  • Column Headers – the CSV importing process will be simplified if the column headers in the CSV match the names of data fields where inputs are required. The list of the column headers for the Statement can be seen if you download the import file template.

Here are the following column headers:

  • Date
  • Amount 
  • Payee
  • Description
  • Reference
  • Cheque number

Step 6: Process import file template.

Fill in all required inputs

Once you open the import CSV file then you will need to fill the template with all the data you want to import.

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Maximum number of lines. To avoid the slow processing of imported data into ERP, we recommend that each CSV file contains no more than 400 lines.

Income and expense amounts. Statement files, provided by banks, usually separate income, and expense amounts into two different columns. The CSV file should combine all values in one column, where positive amounts are income and amounts beginning from a negative sign “-” are expenses. The amounts should not include currency symbols. 

Decimal separator. Some countries use comma (“,”) as a decimal separator, however in most countries dot (“.”) is used to separate integer and its fraction. In the CSV file, prepared for the import, only dot (“.”) should be used for the numerical values.

Date format. There is no specific date format. But you can use the date format as YYYY – MM – DD

Value delimiters. Although CSV file format allows to use different types of value delimiters, make sure that your CSV uses either semicolon “;” or comma “,” as value delimiters.  

Use the sample CSV file for importing Statement with transactions into Nodhom Accounting module.

Step 7: Upload the CSV file.

Once the CSV file is prepared and ready, upload it. Click the “Import” button to open the import window. Click “Attach File” and select the CSV file to upload. 

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Step 8: Check your data.

After uploading the CSV file, it will show you statement lines to validate the data. Please check your data carefully before clicking the “Import” button. 

Step 9: Import and view your data.

Once you press the “Import” button the data will be imported and displayed under the ‘Bank Statement Lines’ as below screen. To view the ‘Bank Statement Lines’ please click on the “Bank Accounts” menu and then click the “Bank Statements” button.

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1.3 How to Reconcile a Bank Statement 

This user guide describes how to reconcile a bank statement in the Nodhom accounting module.

How to know when there are bank statements are ready for reconciliation

When you click on the bank accounts then you will see the dashboard for bank accounts. You will see a reconciliation button whenever statement lines are imported from your bank account into Nodhom. It will also show how many statements are ready for reconciliation. If you click the button, then it will lead you to the reconciliation screen.

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Alternatively, you can click the ‘Reconcile’ button from the dashboard which will also redirect you to the reconciliation screen. 

Before you reconcile a bank statement

Before you start your bank reconciliation in the Nodhom accounting module, please make sure that you have entered all your transactions like invoices, bills, credit notes and expense claims.

If any payment has been made against those transactions, then you can enter them before you start or during the bank reconciliation process.

Different methods to reconcile bank statements

Nodhom helps you to reconcile your bank statements in three different ways – 

  1. Match – Nodhom tries to match a transaction so that you can reconcile that with a bank statement line. 
  2. Create – You can create a transaction against the bank statement line on the reconciliation screen
  3. Transfer – You can transfer the amount of bank statement line to other bank accounts

You will see those three different options by clicking on the context menu of each transaction as below – 

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1.1 How to match a transaction

When you click on the ‘Match’ option from the context menu then the system will display all matching transactions in a pop-up window

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Once you find the desired transaction you need to select the checkbox of the transaction. In the next section, you will see the transaction is selected. 

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Please make sure the total amount of selected transactions must match the money received/sent.

Finally, you need to check if there is any minor adjustment or bank fees need to be applied to the transaction. If the total amount of selected transactions is not matched with the money received/sent, then you will need to create adjustments for the remaining amount. To create an adjustment please click on the adjustments link as per below screen – 

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Let us assume the total amount of money paid SAR 10,500 and the Total amount of selected transaction SAR 9880.15. So, you will need to create a minor adjustment entry of SAR 619.85 to reconcile the transaction. 

If the system detects that the total received/sent amount is exactly matched with the transaction amount, then it will activate the ‘Reconcile’ button. Once you press the button the reconciliation will be performed, and the system will show you a message as the reconciliation was successful. 

2.1 How to create a transaction

The second method is to create a transaction on the fly to reconcile the bank statement. You need to click on the ‘Create’ option from the context menu of a transaction. A pop-up window will be displayed once you click on the ‘Create’ option.

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  1. Select a nominal account from the lookup
  2. Select a contact from the lookup
  3. Select a tax rate from the lookup
  4. Enter the description of the transaction
  5. Dimension helps to categorize and apply category to it
  6. Cost Centre refer to department within a business to which costs can be allocated
  7. Click the “Create” button. The system will create a transaction and reconcile the bank statement line against the created transaction.  
  8. Click “Cancel” button. The system will cancel whatever you created on this pop-up window.

3.1 How to transfer to other bank accounts

Lastly, you can transfer the amount of a bank statement line to another bank account. To transfer from one bank account to another bank account click on the ‘Transfer’ option of the context menu of a transaction.

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  1. Select a bank account from the lookup where you want to transfer the bank statement amount
  2. Enter the reference of the transaction
  3. Click “Transfer” button. The system will reconcile the bank statement line and credit the amount to the bank account where it was transferred.
  4. Click “Cancel” button. The system will cancel whatever you created on this pop-up window.

1.4 How to Remove and Redo a Bank Statement Reconciliation

This document will describe how to remove and redo a bank statement reconciliation.

Step 1: Display all previously reconciled transactions.

To view all previously reconciled transactions click on the “Bank Accounts” menu and then click the “Nodhom Transactions” button. 

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Once you click the “Nodhom Transactions” button the system shall display all previously reconciled bank statements as below.

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Now click on the status drop-down of a bank statement which will show you a button with label ‘Remove & Redo’.

Step 2: Perform action on a reconciled bank statement.

Now, if you click the “Remove & Redo” button of a specific reconciled bank statement then it will show a pop-up to confirm your action. 

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  1. Bank Statement line details shall be displayed on the left side of the pop-up window.
  2. Payment Details shall be displayed on the right side of the pop-up window
  3. If you want to delete the bank statement line, then click the “Delete Statement Line” button. If you confirm then the system will redo the bank reconciliation transaction and delete the bank statement line as well. 
  4. Click the “Remove & Redo” button if you want to redo the bank reconciliation transaction. If you confirm then the system will redo the bank reconciliation, but it will not delete the bank statement line. 
  5. Click the “Cancel” button if you want to exit from the pop-up window. 

2.Spend/Receive/Transfer Money

Nodhom Accounting system helps you to track spend money, receive money, and transfer money transactions. This document provides brief information how you can spend, receive, or transfer money in Nodhom accounting system. 

2.1 How to create “Spend Money” record

Step 1: Go to “Bank Accounts”.

To create a spend money record, please click on the “Bank Accounts” menu and then click on the drop-down from the Nodhom transactions as per the below screen. 

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The drop-down will show three different options. Please click on “Spend Money” from the drop-down menu which will display below screen.  

Step 2: Create spend money record.

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  1. Select the party from the look-up values for which you want to create a spend money record. 
  2. Select the bank account from the list of banks
  3. Select the date. By default, it will show the current date. You can change the date by using the date picker.
  4. Set the reference for this transaction.
  5. Select whether the money will be spent as Direct payment, Prepayment , Overpayment 
  6. Choose one of the following tax rules applicable for the spent money record. No tax – If you select ‘No tax’ then tax will not be applied for the spend money record. The system will disable the fields ‘Tax Rate’ and ‘Tax Amount’. Tax exclusive – If you select ‘Tax Exclusive’ then the system will not include the tax amount within the sub-total amount of the spend money amount. Tax-inclusive – If you select ‘Tax-inclusive’ then the system will include the tax amount within the sub-total amount of the spend money amount.
  7. Select the item from the look-up 
  8. Enter a description for the selected item
  9. Enter the quantity of the item.
  10. Enter the unit price of the item 
  11. Select the nominal account from the look-up 
  12. Select the tax rate from the look-up. Based on the selected tax rate tax amount will be calculated.
  13. If you selected ‘No tax’ then the system will tax amount = 0 If you selected ‘Tax Exclusive’ then the system will calculate the tax amount =  ((Qty * unit price) * tax percentage. If you selected ‘Tax-inclusive’ then system will calculate the tax amount = ((Qty * unit price) * tax rate)/(100+tax rate).
  14. Select the dimension of the spend money from the look up. The field will display line total = (Qty * unit price). You can click on the ‘x’ icon if you want to remove the row
  15. If you need to add more rows, then press ‘Add line’ button.
  16. Totals are displayed for amount and Tax
  17. Save button to save the changes
  18. Save and new is for saving this one and opening a new one in one click
  19. Cancel button to cancel the changes.

2.3 How to create “Transer Money” record

Step 1: Go to “Bank Accounts”.

To create a transfer money record, please click on the “Bank Accounts” menu and then click on the drop-down from the Nodhom transactions as per the below screen. 

The drop-down will show three different options. Please click on “Transfer Money” from the drop-down menu which will display below screen.

Step 2: Create transfer money record.

  1. Select the Bank from the lookup from which Transfer money needs to initiate.
  2. Select the Bank from the lookup to which the transfer money needs to be sent to.
  3. Add amount for the money transfer.
  4. Add date of money transfer.
  5. Select Dimension from the lookup.
  6. Select Cost center from the lookup.
  7. Add reference for the Transfer money.

2.4 How to create a Receive Money

Step 1: Go to “Bank Accounts”.

To create a transfer money record, please click on the “Bank Accounts” menu and then click on the drop-down from the Nodhom transactions as per the below screen. 

The drop-down will show three different options. Please click on “Receive Money” from the drop-down menu which will display below screen.

Step 2: Create Receive money record.

  1. Select the party from the look-up values for which you want to create a receive money record. 
  2. Select the bank account from the list of banks
  3. Select the date. By default, it will show the current date. You can change the date by using the date picker.
  4. Set the reference for this transaction.
  5. Select whether the money will be spent as Direct payment, Prepayment , Overpayment 
  6. Choose one of the following tax rules applicable for the spent money record. No tax – If you select ‘No tax’ then tax will not be applied for the spend money record. The system will disable the fields ‘Tax Rate’ and ‘Tax Amount’. Tax exclusive – If you select ‘Tax Exclusive’ then the system will not include the tax amount within the sub-total amount of the spend money amount. Tax-inclusive – If you select ‘Tax-inclusive’ then the system will include the tax amount within the sub-total amount of the spend money amount.
  7. Select the item from the look-up 
  8. Enter a description for the selected item
  9. Enter the quantity of the item
  10. Enter the unit price of the item
  11. Select the nominal account from the look-up 
  12. Select the tax rate from the look-up. Based on the selected tax rate tax amount will be calculated. If you selected ‘No tax’ then the system will tax amount = 0 If you selected ‘Tax Exclusive’ then the system will calculate the tax amount =  ((Qty * unit price) * tax percentage. If you selected ‘Tax-inclusive’ then system will calculate the tax amount = ((Qty * unit price) * tax rate)/(100+tax rate)
  13. Select the dimension of the spend money from the look up
  14. The field will display line total = (Qty * unit price)
  15. Sub total value of amount
  16. Total tax amount
  17. Total of amount and tax both.
  18. Save button to save the changes
  19. Save and new is for saving this one and opening a new one in one click
  20. Cancel button to cancel the changes.

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