How many years do you hold on to records/bills?

[BaileyBea]

I forget what the rule was 9 years, 7 years, 4 years for you to hold on to old Utility statements, bank statements, medical, taxes etc.. Does anyone have a good process for purging documents.

I am getting ready to take all my records to a shredding service and I have no idea how many years back to go. My appt. isn't for another week, so I have a little while to get my stuff together.

TIA

[tny915]

There was a post a while back on this. Maybe this will help.

http://www.windsorpeak.com/dc/dcboard.php?az=show_topic&forum=37&topic_id=285193&mode=full

[bostonsmama]

That's a great thread! Thanks.

The common advice you're referring to is the keeping of W2s, tax filings and financial records for seven years (I believe that's how far back the IRS can go to audit you...or something like that).

We always throw away bank statements after a month or two. With online banking & a balanced check book, it's redundant filing.

We do keep all of our home improvement receipts in a file folder, as money spent on increasing the value of your home is tax deductable when you go to sell your home and reap a profit (can reduce capital gains tax).

I also only keep bills long enough for the next to come in. I have a folder where I mark "PAID", the date and the check # (or online bill pay confirmation code) on each bill and store it in the pocket until next month (where I shred the old and store the new). Getting organized about this is the one thing that has cut down paper clutter in my home office/computer room.

Larissa

We're doing it! IVF orientation & consult scheduled for May 2nd!

Proud Aunt to Jack Dorian, born to my brother and SIL on 3/06
http://www.windsorpeak.com/dc/user_files/32719.jpg

[aliceinwonderland]

FWIW, I don't think there's cap gains tax if you lived in the property 2 out of the past 5 yrs, and it's your primary residence, and your **profits** (for a married couple) are less than half a million dollars.

To the OP--I throw everything away except for tax filings. Which are electronic anyway for the past few years. And I do have e-copies of checks going back 2 yrs.

[BaileyBea]

That was a great post! Thanks for the outline of stuff to get rid of. I am spring cleaning in full force right now.

They tell me it's nesting but really it's the fear that the hot summer is here in Texas already (100 degrees already) and after Baby #2 I will never have time again.

I am on a mission right now to purge as much as possible.

[Dee150]

Its almost 1AM now so I apologize in advance if this sounds weird! (And its been along time since I last visited these boards....)
We recently got our free credit reports and one of them (experian) had listed in great detail all the goings-on in the various accounts. I remember thinking then that there Was a benefit to being the pack-rat that I am! Just a thought- maybe check off against these reports before you shred it all away. (JIC...www.annualcreditreport.com for free reports from the 3 main credit reporting agencies.)