How long do you keep documents?

[turbothumper]

I just read an article on MSN money about how long to keep certain documents and then several comments disagreeing with the advice.

I am just curious what the wonderful people of WIRR do.

So, how long do you keep.....
1. Tax filings
2. Tax backup (receipts, etc.)
3. Paystubs
4. Monthly bills (utilities, cable, internet, phone)
5. Bank statements
6. Credit card statements
7. Insurance policies
8. One time bills (plumbing repair, etc.)
9. ATM or CC receipts
10. Any others you want to add

Thanks in advance!!

[Deleted]

1. Tax filings - forever
2. Tax backup (receipts, etc.) - forever
3. Paystubs - not at all
4. Monthly bills (utilities, cable, internet, phone) - one year
5. Bank statements - one year
6. Credit card statements - one year
7. Insurance policies - a while
8. One time bills (plumbing repair, etc.) - if capital improvements to house, as long as I live in house
9. ATM or CC receipts - not at all
10. Any others you want to add

[bluecluessubtlety]

I used to keep everything for forever. In several different formats.

Now:
1. Tax filings - forever
2. Tax backup (receipts, etc.) - forever
3. Paystubs - not at all
4. Monthly bills (utilities, cable, internet, phone) - one year
5. Bank statements - not at all
6. Credit card statements - don't have any
7. Insurance policies - not at all
8. One time bills (plumbing repair, etc.) - one year. Vehicle repairs forever.
9. ATM or CC receipts - not at all
10. Things I don't keep at all are accessible somewhere else like the bank's or ADP's website.

[NomoreDramaQ1015]

1. Tax filings Forever
2. Tax backup (receipts, etc.) Forever
3. Paystubs: Never mine are online and so are DH's
4. Monthly bills (utilities, cable, internet, phone) Till the payment clears from my account
5. Bank statements: never
6. Credit card statements : never
7. Insurance policies: Forever if I don't switch insurance
8. One time bills (plumbing repair, etc.) at least a year
9. ATM or CC receipts: Never
10. EOBs from insurance: 1-2 years
11. Recipets for final payment: forever
12. Car titles, marriage license etc: forever

[bring in the new year]

I'll agree with almost everyone else except on the paystubs.

If you're working for a small company or if you think your company is having financial issues keep the pay stubs until you get your w2 & then double check it against the w2.

If a discrepancy comes up, and you can prove to the IRS that your PAYSTUBS show the correct withholding regardless of what your w2 shows or what the company deposited, the IRS will go after the company and not you.

I would also keep cc statements with major purchases at least for a year - anything where you might want to prove you paid for it when the warranty questions come up.

[turbothumper]

So far, the only thing that is really surprising me is keeping tax returns and backup info forever.

I've also wondered about Social Security statements and 401k statements.

[regina24601]

turbo - The conventional advice that I've been given on tax info is to keep your returns forever, but that you only need to save your supporting documentation for 7-10 years. I don't really know - I've only been filing tax returns for 13 years (and the first few were TeleFile or 1040-EZs when I was a teenager), so I've been able to keep ALL of my documentation without sacrificing much filing space. I'll probably re-evaluate this in a few years to see if I need to purge older stuff.

But yeah, keep the returns forever.

[meli_beach]

For tax returns...do you keep all the hard copies or do you scan in the documents and supporting documentation? Right now I keep all the hard copies, etc. But I'm thinking that if I were to scan it in then maybe I could get rid of the hard copies. What do you think?

[jdnstl]

Nov 5, 2011 7:30:51 GMT -5 meli_beach said:

For tax returns...do you keep all the hard copies or do you scan in the documents and supporting documentation? Right now I keep all the hard copies, etc. But I'm thinking that if I were to scan it in then maybe I could get rid of the hard copies. What do you think?

i'd like to know as well. i have about 15 years of paperwork because i keep EVERYTHING forever. hmmmm.....i know i need to re-evaluate this but i never know if i'll need something for an audit down the road.

[bring in the new year]

You can certainly scan it but remember the changes in technology.

Documents I scanned 15 years ago aren't easily accessed any more. I keep an old computer upstairs just in case I need them.

I would not keep the back up past 7 years (and remember to shred it) but the actual returns/mortgages/etc. I'd keep hard copy.

[MN-Investor]

Every time this subject comes up, I throw in my 2 cents about scanning documents.

I've been a document hoarder . A couple years ago I bought a Fujitsu ScanSnap document scanner. It doesn't take up much desk space, it's a breeze to use, and it saves the documents in pdf format. I've been slowly scanning in my old documents, then shredding them. I still save too many originals, but I'm getting better.

Where utilities, etc. offer electronic statements, I download and store them. They take up no room and I always make sure I have a secure backup.

[fuzzylumpkins]

1. Tax filings -- Forever. I have electronic copies in my email and hard copies in the file cabinet.
2. Tax backup (receipts, etc.) -- Forever. I have electronic copies in my email and hard copies in the file cabinet.
3. Paystubs -- Never
4. Monthly bills (utilities, cable, internet, phone) -- 5 years
5. Bank statements -- Never, it's electronic.
6. Credit card statements -- Never. Again, electronic.
7. Insurance policies -- 2 years
8. One time bills (plumbing repair, etc.) -- 1 year (warrantee stuff)
9. ATM or CC receipts -- Never, I don't print them.

[singlemomky]

I keep seeing that people are keeping their tax returns forever - the IRS has a recommendation on their site that varies from 3-7 years depending on the circumstances.

Just as an FYI - I've been told by several tax preparers that if for some reason you are audited by the IRS you must turn over all documentation you have so if you have 20 years of returns they can analyze all of those returns.

[turbothumper]

I only keep my tax returns for 7 years. For those that keep them forever, what is your reasoning? Just curious.

[TheOtherMe]

1. Tax filings - forever (I have very tax return I have ever filed)
2. Tax backup (receipts, etc.) - until the statute of limitations has passed on both the federal and state returns
3. Paystubs - until I receive my W-2
4. Monthly bills (utilities, cable, internet, phone) - until I clean out my file drawer at the start of the new year
5. Bank statements - same as tax back up
6. Credit card statements - same as tax back up
7. Insurance policies - not at all
8. One time bills (plumbing repair, etc.) - Depends on if they are home improvements. Then I keep them as long as I own the house plus the statute of limitations time Vehicle repairs as long as I own the car
9. ATM or CC receipts - until the bank statement or CC statement is available. Then I get rid of ATM receipts and anything that will not go on my tax return
10. Beginning in 2012, I will be keeping everything in electronic format that I can on a dedicated flash drive

I print my tax return as well as keeping it on my hard drive

[jdnstl]

2. Tax backup (receipts, etc.) - until the statute of limitations has passed on both the federal and state returns

why do you keep your return past the statute of limitations but not the backup docs?

[bring in the new year]

Nov 11, 2011 11:25:15 GMT -5 singlemomky said:

I keep seeing that people are keeping their tax returns forever - the IRS has a recommendation on their site that varies from 3-7 years depending on the circumstances.

Just as an FYI - I've been told by several tax preparers that if for some reason you are audited by the IRS you must turn over all documentation you have so if you have 20 years of returns they can analyze all of those returns.

That's not exactly what I remember.

The IRS can only go back a couple of years (I think it's 3 since the date of filing the return - it may be 5) but some of the things on THOSE returns can have arisen in prior years which is why they say 7.

However, if they find fraud -not a mistake, not a misunderstanding, not a place where the tax law is debatable, but fraud, they can go back to the first return you ever filed.

Now, your preparers might want to argue that you don't have to have those returns. My argument is the IRS doesn't need YOUR returns & your backup to file a tax return for you. They'll recreate it from bank records.

I don't keep them for that reason, (I wrote too many letters for clients to screw with the IRS) I keep them because I'm paranoid about paperwork.

[TheOtherMe]

Nov 13, 2011 12:18:45 GMT -5 bring in the new year said:

I don't keep them for that reason, (I wrote too many letters for clients to screw with the IRS) I keep them because I'm paranoid about paperwork.

Retired IRS agent who is with you.

[hsclassic]

1. Tax filings - Forever
2. Tax backup (receipts, etc.) - Forever (packaged with the applicable return)
3. Paystubs - None (no paper copies sent)
4. Monthly bills (utilities, cable, internet, phone) - Only until I pay the bill and record it in Quicken
5. Bank statements - 1 year
6. Credit card statements - None (no paper copies)
7. Insurance policies - Until next renewal period begins
8. One time bills (plumbing repair, etc.) - Depends. If it is "capital" expense (as I define it), it goes into the house file (to justify cost basis). Vehicle bills go into the vehicle files (to help with resale). Major purchases go with their owner's manual - kept until major item is no longer in house. Rest - discarded after bill is paid and recorded in Quicken.
9. ATM or CC receipts - ATM - until recorded in Quicken. CC receipts - until validated against statement.
10. Any others you want to add - trying to limit paper in this household!

[kadee79]

IRS required or suggested....

Keep copies of your filed tax returns. They help in preparing future tax returns and making computations if you file an amended return.

You owe additional tax and situations (2), (3), and (4), below, do not apply to you; keep records for 3 years.
You do not report income that you should report, and it is more than 25% of the gross income shown on your return; keep records for 6 years.
You file a fraudulent return; keep records indefinitely.
You do not file a return; keep records indefinitely.
You file a claim for credit or refund* after you file your return; keep records for 3 years from the date you filed your original return or 2 years from the date you paid the tax, whichever is later.
You file a claim for a loss from worthless securities or bad debt deduction; keep records for 7 years.
Keep all employment tax records for at least 4 years after the date that the tax becomes due or is paid, whichever is later.

I keep everything having to do with taxes for 7 years.
Birth certificates, death certificates & divorce decrees as well as military seperations (etc.) need to be kept FOREVER!

[DVM gone riding]

Yeah I keep receipts for expensive items as long as I a) think there is any possibility of return b) the item might be under warranty c) I feel I might need to argue that I was the person that bought it and this is what I paid (not as impt to me right now but if you get married and then get divorced it may suddenly be impt!) I keep pay stubs until I get my w-2 and then theoretically I only keep the end of year and mid year bonus one after that but I am not that good at cleaning up my paperwork. Also theoretically I attach the CC receipts to the bill when the bill comes in for things I feel I need to keep receipts for--rarely happens in reality!

I also keep ATM receipts but just until it clears the banks--if you have to show you deposited something you are kinda SOL without that receipt! (I don't keep them at all for cash withdrawls and I never even get the stupid receipt for gas--my way of helping the environment)