Paper Storage: What to Keep and Toss

When it comes to organizing paperwork, I try to do whatever I can to avoid it. Unfortunately, my tax forms will not process themselves, so every March, I force myself to deal with it. I can wait so long to organize paper because I know which pieces of mail, receipts, and forms to toss as they accumulate. Knowing the rules of paper storage and retention eliminates the need to keep everything "just in case." 

Here are a few of the guidelines I find most helpful:

KEEP:

• Receipts for major home improvements or high ticket items. Keep them as long as you have the item. This will help with insurance payments, if something were to happen to your property.

• Gift cards. Make sure to keep them in your glove compartment or by your computer, so you remember to use them when shopping.

• Medical records and test results.

• Vital documents. This might include birth certificates, passports, social security cards, and other forms of ID.

• Greeting cards with long, personalized hand-written messages from the giver. 

TOSS:

• All other receipts, once the return period expires.

• Expired coupons or coupons for retailers you never visit.

• Explanation of Benefits forms (EOB), once the bill has been paid.

• Utility bills, once you receive the next month's bill.

• Greeting cards that simply say "Love, Grandma". (Do you really need a piece of paper to remind you that Grandma loves you or your kids?) 

• Bank statements can be shredded at the end of the year.

Remember that anything with an account number should be shredded.

Fun fact: Shredded paper clogs the machinery that recycles paper so it should be tossed in the regular trash, not the recycling bin.

This handy infographic from H&R Block also features helpful information about what to toss and keep when it comes to paper storage. However, if you need more support with spring cleaning in your home office, we would be happy to help! Contact us to book our services today.