Clutter You Should Keep (And Where to Keep It)

Most of us have a good idea of the clutter we should be getting rid of – things we no longer need, items that are broken or missing parts, etc. – but what about the clutter we should keep, such as receipts, user manuals, tax documents and other paperwork? That’s where things get tricky! Here’s a general guide for how to manage that overwhelming paperwork clutter and how to decide what to keep (and how to keep it).

Things to Keep Forever

• Birth certificates
• Adoption papers
• Citizenship and/or naturalization certificates
• Social Security card
• Passport (current)
• Marriage certificate
• Divorce paperwork
• Will/estate planning documents (most current)
• Death certificates
• Deceased family personal records
• Mortgage paperwork and property contracts
• Auto titles
• Investment records
• Insurance policies (current)
• Medical records
• Education records and diplomas
• Driver’s license (copy of current)
• Tax returns
• Retirement plan and pension record

If it is a document that protects your personal identify, wealth, ownership, wellness and wishes, plan to keep it forever. A safe deposit box is a secure way to protect these documents, but keep in mind that you or a loved one may need quick access to some of these things, so be sure to keep copies in your home in case of emergency. Consider a locked file cabinet or fireproof safe (with one or two trusted family members having access to the key or combination) to securely store these documents in your home as well.

Things to Keep At Least 7 Years

• Court-related documents
• 1099s and W2s
• Bank statements
• Charitable contribution documentation
• Expired health, auto, home, etc. insurance policies
• Health, auto, and home insurance claims and statements
• Documentation related to accident reports
• Financial and investment statements
• Home improvement receipts and records
• Receipts for large purchases (vehicles, furniture, appliances, etc.) and related maintenance
• All receipts that support tax deductions

The reason it’s so tricky to know how long to keep some of your legal and tax-related paperwork is because it’s impossible to predict what you may need in the future. Seven years is a general rule of thumb for documentation that supports your tax filings because the IRS may conduct an audit up to 6 years after a filing if an error or improper documentation is suspected. If you’d like to be more conservative, consider keeping documents in this category for ten years. The ten year timeframe is easier to remember and maintain (it’s easier to subtract 10 years from a date as you’re sorting and filing) and will sufficiently meet IRS timeframes.

Store these documents in paper and/or electronic file systems grouped by year (versus by category). This will make it easier for you to purge documents you no longer need after your designated timeframe (e.g. 7 or 10 years) is up. When the timeframe has passed, you can simply purge the entire file for that year, instead of sorting through every category (health records, bank statements, W2s, etc.) to locate and purge paperwork from that year.

Because all personal situations are unique it’s best to consult with your attorney and/or accountant to verify the accuracy and effectiveness of your record-keeping systems and timelines.

Things to Keep 1 Month

• Receipts for non-deductible items (if needed for merchandise returns)
• Paycheck stubs
• Bank deposit and withdrawal slips

Keep these items for one month until you’re able to cross-check with them with your bank and credit card statements. If everything looks good you can shred this paperwork. If there are any inaccuracies you have the documentation you need to reconcile the issue.

Magazine file holders are a great way to organize paperwork you want to keep close at hand.

Things to Store Electronically

• User manuals
• Store discount/rewards cards
• Recipes
• Photos
• Children’s art and school work

Cut down on the paperwork clutter in your home by downloading or scanning documents and storing them electronically. Download user manuals for appliances and electronics straight from the manufacture’s website and recycle the paper copy that came in the box. Download an app for your smartphone to keep all of your store discount and reward card barcodes and numbers in one spot. Transfer your paper recipes to an electronic document or online recipe management system so you never have to worry about losing the instructions for how to make Grandma’s favorite pie crust. (Bonus: electronic recipes are much easier to search!) Scan your children’s favorite artwork and school papers to save electronically by grade, or better yet – make a digital memory book of their artwork, schoolwork and photos for each year!

Reduce paper clutter by downloading user manuals and storing them electronically.

Lastly, cut down on unnecessary paperwork clutter in your home by switching to electronic bank and credit card statements and online bill pay. Keep a recycling bin and a paper shredder by your door and immediately toss any junk mail and shred any bills, statements, or pre-approved credit card offers you do not need before it comes into your home.

Interested in more ways you can cut the clutter and get your home organized? Check out all these great organization resources!