Items to shred:
- ATM and bank deposit receipts. Shred them after you reconcile them with your bank statements.
- Credit card receipts. Once a purchase shows up on your credit card statement, you can shred the slip – unless you need it for tax purposes, in which case you can scan it and keep it with that year’s tax records.
- Pay stubs. Shred them once you get your year-end summary.
- Receipts for minor purchases. After three months, the chances of you returning the item is slim. Label 3 folders, “this month”, “last month” and “two months ago”. When you get new receipts drop them into the “this month” folder. Each month transfer the receipts to the “last month” folder and take what’s in “last month” and move to “two months ago”.
Reduce what comes in:
- Go paperless with billing statements. If you need a bill for taxes you can download it.
- Use automatic payments for reoccurring bills.
- Use financial software to keep track of your money and where it goes.
Keep or Scan:
- Should you scan or keep the paper is a personal decision.
- Filing paper takes up room and is harder to keep files organized.