Clutter Busting: Home Office Overhaul – Week #2

Last week I gave you a shopping list of items to pick up; (if you did not already own them) filing drawer, small folio, basket/bin that can fit bills, and paper shredder. In addition, I challenged you to do a quick toss of paper clutter that you absolutely knew you did not need to keep. Finally, I asked you to collect your unpaid bills, open and toss out the envelope and filler.

This week we are going to work on what you need to keep in your file drawer and for how long. Following are the files that I keep. You may need to add to my list to best suit your needs. The following information is not to replace the advice from a financial expert, so please use this just as a guide. If you have any specific questions please contact your accountant or lawyer, as I am neither.

Taxes- Items needed for this year’s taxes that do not fit into the other file categories
Paystubs
Medical bills
Utility bills
Credit Card Statements
Bank Statements
Quarterly Investment Statements

All of the above files are to be kept for one full calendar year unless they are used for tax purposes such as for use with Home Office business expense. In the event that they will be used for a business expense, at the end of the year combine them all into a large envelope and clearly mark on the envelope 20xx taxes.

In addition include:
Cancelled insurance policies
Records of selling real estate or stock
Home Improvement receipts

The above should be kept for at least three years (check with your accountant to see how long you should keep your tax records). At the end of the year I store them with my other tax info for that year.

Also include in your filing drawer:
Paid Loans: Keep for 7 years
Sales receipts and warranty information- keep until the warranty expires

Now’s the time to get personal with your filing system. Add those items, which are important to you. The following list is my list to help you think of what you may need:

School- important papers from my children’s school such as student handbook
Vacation- brochures of places we plan on going
Home/Garden
Automotive
Volunteer paperwork
Pet papers and vet bills
Scrapbook- I put in here anything that I will want to use in my scrapbook but is not a photo (birthday invite, program booklet, etc.)

This week simply work on getting the file drawer organized. Make sure you ask your accountant and/or attorney for their specific recommendations for your taxes or other records. Don’t forget to shred any personal documents. Do not just toss into the garbage. Next week we are going to work on the most important papers that will be kept in your separate smaller folio.

Happy sorting!
Betsy