How Long Do I Really Need to Keep My Personal Documents

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All personal documents must not remain in your possession permanently. Before you start shredding your old tax returns and check stubs, it's helpful to know if you'll need it again.

Keep these documents permanently

There are documents that you must keep indefinitely. If you felt like you could throw out your tax return after seven years, you're wrong. Keep statements permanently; You will need it if you get audited. Of course, you can keep your tax returns stored digitally.

Financial records of inheritances, legal deposits and even large purchases must also be kept permanently, or until you no longer have the major purchase (such as records for the purchase from a house that you sold two years ago).

Keep these documents for three to seven years

Tax documents can be thrown away for seven years. Your 1099s, W-2s, Warrants and other supporting tax documents must be retained for a maximum of seven years. They will be useful if the IRS has questions in the few years of this year of taxation.

Keep these documents for a year

Keep documents such as rental agreements for one year after you leave. If you do not collect your deposit or you do not remove it because of eviction, your records may be useful to the court.

Keep pay check stubs, bank statements and credit card statements for one year or until you file your taxes for this year. Your pay stubs and bank statements will be useful for checking that your W-2 and 1099 are accurate.

Mix these documents the next month

For most people, your utility bills can be discarded once you have paid them. If you work for yourself, keep them until you get your taxes for this year. Of course, if you sign up for paperless bills, you will not have to worry!

Deposit and withdrawal slips can also be thrown away monthly. Use them to check if your monthly bank statement is correct, then shred them.

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