How to connect Deel with Microsoft Dynamics 365 Finance

Overview

The Microsoft Dynamics 365 Finance integration allows you to sync data from Deel directly to your accounting software. This integration automates the transfer of vendor information, invoices, payments, and documents, ensuring your General Ledger (GL) remains accurate and up-to-date. It is designed for users who want to streamline their accounting processes and reduce manual data entry errors.

Supported worker types

This integration facilitates automated data flow for the following:

• Independent Contractors (ICs)
• Employer of Record (EOR)
• Global Payroll (GP)

Want to know more?

Refer to the Microsoft Dynamics 365 Finance integration Overview page for more information and FAQs.

In this article

Here’s what you’ll find in this article:

• Before you begin
• Setting up credentials
  • Step 1: Retrieve the Tenant ID
  • Step 2: Register an application
  • Step 3: Create a client secret
  • Step 4: Configure API permissions
  • Step 5: Retrieve the Finance base URL
• Configuring Dynamics 365 Finance Parameters
  • Step 6: Create journal names
  • Step 7: Configure Number Sequences
  • Step 8: Define Account Structures
• Connecting Deel and Microsoft Dynamics 365 Finance
  • Step 9 - Navigate to apps
  • Step 10 - Authenticate
  • Step 11 - Map entities and accounts
  • Step 12 - Optional configuration
• Next Steps

Before you begin

You must have:

• A Deel account and be logged in.
• Deel Organization Admin or IT Developer permissions, including access to Apps & Automation and the App Store. 
• Administrative access to the Microsoft Entra tenant (formerly Azure Active Directory), with permission to view and register applications and manage credentials and API permissions.
• An active Dynamics 365 Finance environment with access to General ledger and Accounts payable setup.

Microsoft Entra admin center and Dynamics 365 Finance are separate applications from Deel. Complete the Microsoft Entra and Dynamics configuration steps in their respective environments.

Setting up credentials

Before connecting to Deel, you must obtain specific credentials from Microsoft Entra ID. You will need the following values:

• Tenant ID (Directory ID)
• Client ID (Application ID)
• Client Secret
• Base URL (Finance environment URL)

Follow the steps below to retrieve the values and set up your credentials:

Step 1: Retrieve the Tenant ID

1. Open the Microsoft Entra admin center.
2. Sign in and complete any required verification.
3. If prompted, select the directory for the Dynamics 365 Finance integration.
4. In the left navigation, select Microsoft Entra ID.
5. Select Overview.
6. Locate and copy the value next to Tenant ID.

The Tenant ID is shared across all Finance environments (DEV, UAT, PROD) and is required for OAuth token requests.

Confirm that the Microsoft Entra ID > Overview page displays a value for Tenant ID.

Step 2: Register an application

1. In the Microsoft Entra admin center, select Microsoft Entra ID.
2. Select App registrations.
3. Select New registration.
4. Enter the following values:
   • Name: Deel – Dynamics 365 Finance Integration (example)
   • Supported account types: Single tenant
   • Redirect URI (optional): Leave blank unless your organization requires a redirect URI.
5. Select Register.
6. On the registered app’s overview or details page, copy the Application (client) ID.

Use the Application (client) ID as the Client ID in Deel.

Step 3: Create a client secret

1. From the details page of the registered app, select Certificates & secrets.
2. Under Client secrets, select New client secret.
3. Enter a description and select an expiration period that meets your organization’s security requirements.
4. Select Add.
5. Copy the secret Value immediately and store it securely.

The secret value is shown only once. If you navigate away from the page without copying it, you will need to create a new secret.

Step 4: Configure API permissions

1. From the details page for the registered app, select API permissions.
2. Select Add a permission.
3. Search for and select Dynamics ERP.
4. Select Delegated permissions.
5. Select Odata.FullAccess, then select Add permissions.
6. Grant admin consent when required by your organization.

Admin consent is required for server-to-server integrations.

Confirm that the app’s API permissions page lists the required Dynamics ERP permission.

Step 5: Retrieve the Finance base URL

The Base URL is the URL of your Dynamics 365 Finance web application.

1. Sign in to the intended Dynamics 365 Finance environment in your browser.
2. Copy the environment URL from the address bar.
3. Keep only the domain portion of the URL.

Do not include any path after the domain. The Base URL is environment-specific (DEV, UAT, PROD).

Configuring Dynamics 365 Finance Parameters

Before Deel can communicate with your environment, you must prepare the internal containers and numbering rules. Dynamics 365 is a highly structured system; it will reject any data that does not arrive with a valid ID or a designated destination. These steps ensure that when Deel sends an invoice, the system accurately labels it and stores it in the correct location.

Step 6: Create journal names

Microsoft Dynamics 365 Finance operates on a structured Journal system. It will not allow financial data to enter the database as un-indexed entries; instead, every transaction must be housed within a specific journal name that acts as a secure container.

During the configuration process in Deel, the integration will read your Dynamics environment and ask you to select a destination for each data type. If these names are not pre-configured in Dynamics, Deel will have no valid target to sync your information.

You must create three different journal names that match the ones used by Deel to guarantee a smooth sync.  Each journal name corresponds to a specific type of financial data flowing from Deel:

• DEELINV (Invoice Sync): Matches Accounts Payable data. This creates individual bills in Dynamics so you can track debt and liability for specific contractors.
• DEELPAY (Payment Sync): Matches Disbursement data. This records the actual movement of money out of your accounts to settle outstanding bills.
• PROLL (General Ledger Sync): Matches Payroll Journal data. This provides a high-level summary of total payroll costs (salaries, taxes, benefits) for your Profit & Loss statements.

Follow the steps below to set up each journal name:

1. Select the hamburger menu in the upper-left corner to open the Modules menu, then select General ledger.
2. Under the Journal Setup, select Journal Names.
3. Click + New to create a new record. 

4. Set a Name, a journal type, and a voucher series. These are required fields. 

   The voucher series is the specific number sequence you select to act as the ID generator for a journal. The journal type tells Dynamics 365 exactly what kind of financial data the journal is allowed to process.

   Set the following journal types for the corresponding journal names:

   Journal name	Journal type
   DEELINV	Vendor invoice recording
   DEELPAY	Vendor disbursement
   PROLL	Daily

For all three journals, ensure the Voucher series is linked to a continuous number sequence to avoid identity errors during the sync.

1. Click Save to create the journal. 

2. Repeat the process for the other required Journal names. 

Step 7: Configure Number Sequences

In Dynamics 365, a Continuous number sequence ensures that every transaction is assigned a strictly sequential ID without any gaps in the numbering. 

When Deel pushes a sync, it targets the specific journal names you create. The journal looks at its assigned voucher series to generate a unique name tag for each entry. By using a continuous sequence, the journal can automatically name every invoice and payment without requiring a human to manually type an ID. 

Continuous number sequences allow the system to automatically assign the next available ID without manual human intervention. If these are set to manual, the sync will fail.

1. Select the hamburger menu in the upper-left corner to open the Modules menu, then select Accounts payable.
2. Under the Setup menu, select Accounts Payable parameters.
3. Select the Number sequences tab and locate the reference that corresponds to the Voucher Series you will set for the journal.
4. Open the sequence details.
5. In the General FastTab, ensure Manual is disabled and Continuous is enabled.
6. Repeat this process for the Invoice voucher reference. This ensures that every bill synced from Deel receives a unique transaction ID automatically.

Step 8: Define Account Structures

The Account Structure acts as the validation framework for your journals. It defines which pieces of information (like Department or Project) must be attached to an expense for it to be considered valid. By setting this up, you enable Deel to order your payroll data with the correct tracking categories so your reports stay organized.

1. Select the hamburger menu in the upper-left corner to open the Modules menu, then select General ledger.
2. Under the Ledger Setup, select Ledger.
3. Select Configure account segments under Account structure.
4. Click +New, set a name for the account structure, then click Create to confirm. to create one for each of the main accounts you intend to use with Deel.
5. Add segments to define the dimensions you want to track, such as department, costcenter, or project.
6. Activate the structure. 
7. Return to the Ledger dashboard and click +Add to include the account structure you just created. 
8. Repeat the process to create an account structure for each of the main accounts you intend to use with Deel.

Connecting Deel and Microsoft Dynamics 365 Finance

Step 9 - Navigate to apps

1. Go to your Deel account dashboard.
2. In the left sidebar, select Apps & Automation to expand its submenu.
3. Select App Store.

1. If the Welcome to your Deel Apps & Integrations dialog appears, select I'll do that later.
2. On Apps overview, use the Find apps search field to search for Microsoft Finance.

1. Select Microsoft Finance, identified by the description Enterprise financial management.

1. On the integration details page, select Connect to Microsoft Finance.

Step 10 - Authenticate

1. On the Enter Microsoft Finance Credentials page, enter your Client ID, Client Secret, Tenant ID, and Base URL.
2. Select Continue.

Step 11 - Map entities and accounts

1. Select the Deel entity and the corresponding Dynamics 365 Finance Company ID.
2. Select Continue.

This maps each Deel legal entity to its Dynamics 365 Finance entity. If you have multiple subsidiaries, you may be prompted to map each legal entity.

In the Account Mapping section, you will link Deel’s expense categories to your Microsoft Finance Chart of Accounts to ensure every transaction is categorized correctly in your General Ledger.

1. Select a Fallback account for unmapped items.
2. For each Deel invoice item, select the matching account from your Dynamics 365 Finance chart of accounts.
3. Optionally enable Map with Deel AI to receive suggested account matches based on your account names.
4. Use the status filters to identify unmapped items.
5. Map all mandatory categories and select Continue.

Step 12 - Optional configuration

Connection Confirmation

After a successful connection, Deel redirects you to the integration settings page, where the integration should show a Connected status.

If the connection fails, verify that the application has the required permissions in Entra ID and that no conditional access policies are blocking the application.