Personal Record Retention Guidelines
Is your file cabinet bulging with another year’s worth of tax documents? Are you keeping every single bill, tax return, insurance invoice, medical documentation, contract and even the warranty for that 15-year-old coffee maker you don’t even own anymore? If you answered, "yes" to any of these questions then you are not alone. Many people are not sure how long to retain their financial records.
Identity Theft: With the threat of identity theft coming largely from paper documents it is good practice is to shred all the records you should no longer retain, especially those with your personal information. Expired documents can pose a threat to your financial health and may not provide you with any useful information.
At least once a year you should go through your files and shred everything that is no longer needed.
When it comes to personal records retention guidelines, there aren't any hard and fast rules but these are some basic guidelines for the retention of your personal records.
Start by checking your drawers (home and work), filing cabinets, folders, boxes, glove compartments, even your safe deposit box for all documents. Then separate the papers into these five groups:
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1. Originals you rarely need |
Store in: |
Shred after: |
Give copies to: |
|
Adoption papers |
Bank safety deposit box |
Never discard |
Executor, lawyer |
|
Citizenship papers |
Bank safety deposit box |
Never discard |
Executor |
|
Divorce decree |
Bank safety deposit box |
Never discard |
Lawyer |
|
Lawsuits |
Bank safety deposit box |
Never discard |
Lawyer |
|
Household inventory |
Bank safety deposit box |
Never discard |
Financial advisor |
|
Photos of possessions |
Bank safety deposit box |
Never discard |
Financial advisor |
|
Military discharge |
Bank safety deposit box |
Never discard |
Never discard |
|
Veteran’s papers |
Bank safety deposit box |
Never discard |
Never discard |
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2. Originals you sometimes need |
Store in: |
Shred after: |
Give copies to: |
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Birth certificate |
Fire and burglar resistant safe at home |
Never discard |
|
|
Cemetery deed |
Fire and burglar resistant safe at home |
Never discard |
Heir |
|
Real Estate Deeds |
Fire and burglar resistant safe at home |
Ten years after property is sold |
|
|
Death certificates |
Locked filing cabinet |
Never discard |
Executor |
|
Diplomas |
Fire and burglar resistant safe at home |
Never discard |
|
|
Guardianship arrangements |
Fire and burglar resistant safe at home |
Never discard |
Executor, guardian |
|
Health records |
Fire and burglar resistant safe at home |
Never discard |
Doctor |
|
Immunization records |
Fire and burglar resistant safe at home |
Never discard |
Doctor |
|
Marriage certificates |
Fire and burglar resistant safe at home |
Never discard |
Executor |
|
Medical directive |
Fire and burglar resistant safe at home |
New one signed |
Doctor, heir |
|
Naturalization Certification |
Fire and burglar resistant safe at home |
Never discard |
|
|
Passports |
Fire and burglar resistant safe at home |
It expires |
|
|
Powers of attorney |
Fire and burglar resistant safe at home |
New one signed |
Doctor, heir |
|
Retirement plan benefits |
Fire and burglar resistant safe at home |
Never discard |
Financial advisor |
|
Social Security card |
Fire and burglar resistant safe at home |
Never discard |
|
|
Stock/bond certificates |
Fire and burglar resistant safe at home |
When sold |
|
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Vehicle titles |
Fire and burglar resistant safe at home |
Vehicle is sold |
|
|
Trusts |
Fire and burglar resistant safe at home |
New one signed |
Executor, heir |
|
Wills |
Fire and burglar resistant safe at home |
New one signed |
Executor, heir |
|
3. Other Documents |
Store in: |
Shred after: |
Give copies to: |
|
College financial aid |
Locked filing cabinet |
Ten years after loan is repaid |
|
|
Credit report |
Fire and burglar resistant safe at home |
New one arrives |
Financial advisor |
|
Document inventory (this list) |
Fire and burglar resistant safe at home |
You create a new list |
Executor |
|
Employee benefits |
Locked filing cabinet |
Change jobs |
|
|
Employment contract |
Fire and burglar resistant safe at home |
Change jobs |
|
|
Financial statements |
Fire and burglar resistant safe at home |
New ones drafted |
|
|
Insurance policies/invoices |
Locked filing cabinet |
A year after replacing policy |
Financial advisor |
|
Letter of last instructions |
Fire and burglar resistant safe at home |
After writing a new one |
Executor |
|
Loan statements |
Locked filing cabinet |
Ten years after loan is repaid |
|
|
Passwords |
Fire and burglar resistant safe at home |
Change password |
|
|
Property tax assessment |
Locked filing cabinet |
New one arrives |
|
|
Receipts (items under warranty) |
Locked filing cabinet |
Warranty expires |
|
|
Receipts (expensive items) |
Fire and burglar resistant safe at home |
Item sold or donated |
|
|
Safe deposit box inventory |
Fire and burglar resistant safe at home |
Updated |
Executor |
|
Social Security statement |
Locked filing cabinet |
New one arrives |
Financial advisor |
|
Transcripts |
Locked filing cabinet |
You complete another course |
|
|
Vehicle registration |
Locked filing cabinet |
New one arrives |
|
|
Vehicle repairs |
Locked filing cabinet |
Vehicle is sold |
|
|
Warranties* |
Locked filing cabinet |
Dispose of item |
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*Note: staple receipts to warranties
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4. Tax Documents |
Store in: |
Shred after: |
Give copies to: |
|
Bank statements |
Locked filing cabinet |
Seven years |
|
|
Canceled checks |
Locked filing cabinet |
Seven years |
|
|
Credit card statements |
Locked filing cabinet |
Seven years |
|
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Home purchase/improvement* |
Locked filing cabinet |
Seven years after home is sold |
|
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Tax return/supporting documents |
Locked filing cabinet |
Seven years after filing date |
|
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Form 8606 |
Locked filing cabinet |
Seven years after IRA is liquidated |
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*Deeds, surveys, title policies, blueprints, loan papers, receipts, etc.
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5. Investment Documents |
Store in: |
Shred after: |
Give copies to: |
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Annuity contracts |
Locked filing cabinet |
Annuity paid out |
Financial advisor |
|
Loan agreements |
Locked filing cabinet |
Ten years after loan is repaid |
|
|
Pension plan documents |
Locked filing cabinet |
Never discard |
Financial advisor |
|
Real Estate purchase/improvements |
Locked filing cabinet |
Seven years after property is sold |
|
|
Investment account statements |
Locked filing cabinet |
Seven years after last investment held in account is sold |
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