Which Financial Records Should You Keep?

Good financial records are very important … especially come tax time. But if you keep every snippet of paper forever, you'll need to put an addition onto your house!

Let's do some maintenance and get rid of the paperwork that's cluttering your life.

Before we talk about what you can throw out, let's look at papers you should stash away in your permanent file. Keep the following documents forever:

• Records that relate to your home (mortgage, deeds, capital improvements, etc.)
• Documents showing non-deductible and deductible IRA contributions
• Tax returns and checks used to pay taxes or to substantiate deductions.

Once those papers are safely tucked away, grab your trash bag because here we go!

Now maybe your home will be big enough for you, your family and your financial records!

For more advice on home finance management, click on any of the links below:

• Easing the Property Tax Bite
• Need to Shred Your Old Computer?
• Unplug, Turn Off, Disconnect, and Save Money!