3 ms·

Not the parent but: because you often don't know with certainty whether a particular document will be needed at some point in the future. Edit: Concrete examp

Not the parent but: because you often don't know with certainty whether a particular document will be needed at some point in the future. Edit: Concrete example: I'll probably never get audited by the IRS, but if I ever do, I really really want to have all the records I need to defend myself.

bradknowles 4y ago
For the IRS, you only need to keep documents seven years back. Anything older than seven years can be shredded.
- copperx 4y ago
  So everybody must keep 7 years of archives? Is that why houses in the US are so big? And does everybody have an archival room? Or does the IRS accept scans? So many questions.
  - nicoburns 4y ago
    How many documents do you have??? Surely one smallish box would do for most people?
    - bradknowles 4y ago
      Some people, yes. Others, no. As your finances get more complex, and you change employers more often, and you have more 401k plans that are distributed around various companies, and you have multiple credit cards, etc... then your storage requirements will necessarily increase.
      - ghaff 4y ago
        Essentially all such records are available online. In any case, a file cabinet is almost certainly sufficient if you want to save a few years of printed copies.
        bradknowles 4y ago
        You still need to provide your own copies of that information, which can be verified against other sources. If you can't provide that information, then you're likely to not do well during the audit. So, you do want to make sure you've got your own copies of those files, whether hard copy or scanned. But for 99.99% of US citizens, a single file cabinet is likely to be more than enough.
  - bradknowles 4y ago
    In theory, yes. In practice, I think most people probably don't. I think scans would be acceptable, but you'd probably have to verify those claims with the bill sender. Houses in the US being so big has less to do with storage requirements for tax filing documents than everyone wanting to stay above average for everything, including house size, and home builders and real estate agents profiting greatly from the general FOMO.
  - pseingatl 4y ago
    You can always "reconstruct the file" in order to replace lost physical documents, assuming there are digital copies elsewhere. The IRS and the courts may lose files occasionally. Then there are fires, like the government records Missouri fire: https://www.archives.gov/personnel-records-center/fire-1973 https://www.archives.gov/personnel-records-center/fire-1973 It happens.
ghaff 4y ago
I tend to throw things in a drawer or other container and throw most of it out every few years. I figure that was, if I need something, I can probably find it. But I don't have to go to the work of filing the 99% of things I'll never need up-front.
- SoftTalker 4y ago
  That's what I do. All bills, statements, etc. go into a cardboard document box. I start a new box every calendar year. If I ever need to find anything, it's a bit of a search but not too bad as the papers will be in roughly chronological order. I almost never need to find anything. It's a decent compromise between separate files for everything (which would take too much effort) and not saving stuff at all. Even scanning stuff to save digitally is more work than this system. After 3 years the box gets burned. The exception is tax returns, they get saved separately.
  - Symbiote 4y ago
    3 years is a bit short. In the last year or so, I've twice needed to find old documents -- ~5 and ~7 years old, respectively. I keep receipts for significant purchases (electronics etc) in one envelope per year. It's so little space I keep these indefinitely, so if I sell an 8 year old bicycle I should still have the receipt. Everything else is in an A4 (now this comment is on-topic) file, and with so much being electronic these days it takes a decade or more to fill one up.
  - ghaff 4y ago
    I do file some things away (e.g. stuff I know I'll need to do taxes) and certain other things (like insurance) go into a fireproof box. But, for the most part, I do much less organization of paper than I used to, especially of things that I can probably just find in an online account. I have file cabinets but I rarely open them these days. Most of the paper I systematically save is going into my travel destination boxes.

bradknowles 4y ago

For the IRS, you only need to keep documents seven years back. Anything older than seven years can be shredded.

copperx 4y ago
So everybody must keep 7 years of archives? Is that why houses in the US are so big? And does everybody have an archival room? Or does the IRS accept scans? So many questions.
- nicoburns 4y ago
  How many documents do you have??? Surely one smallish box would do for most people?
  - bradknowles 4y ago
    Some people, yes. Others, no. As your finances get more complex, and you change employers more often, and you have more 401k plans that are distributed around various companies, and you have multiple credit cards, etc... then your storage requirements will necessarily increase.
    - ghaff 4y ago
      Essentially all such records are available online. In any case, a file cabinet is almost certainly sufficient if you want to save a few years of printed copies.
      - bradknowles 4y ago
        You still need to provide your own copies of that information, which can be verified against other sources. If you can't provide that information, then you're likely to not do well during the audit. So, you do want to make sure you've got your own copies of those files, whether hard copy or scanned. But for 99.99% of US citizens, a single file cabinet is likely to be more than enough.
- bradknowles 4y ago
  In theory, yes. In practice, I think most people probably don't. I think scans would be acceptable, but you'd probably have to verify those claims with the bill sender. Houses in the US being so big has less to do with storage requirements for tax filing documents than everyone wanting to stay above average for everything, including house size, and home builders and real estate agents profiting greatly from the general FOMO.
- pseingatl 4y ago
  You can always "reconstruct the file" in order to replace lost physical documents, assuming there are digital copies elsewhere. The IRS and the courts may lose files occasionally. Then there are fires, like the government records Missouri fire: https://www.archives.gov/personnel-records-center/fire-1973 https://www.archives.gov/personnel-records-center/fire-1973 It happens.

ghaff 4y ago

I tend to throw things in a drawer or other container and throw most of it out every few years. I figure that was, if I need something, I can probably find it. But I don't have to go to the work of filing the 99% of things I'll never need up-front.

SoftTalker 4y ago
That's what I do. All bills, statements, etc. go into a cardboard document box. I start a new box every calendar year. If I ever need to find anything, it's a bit of a search but not too bad as the papers will be in roughly chronological order. I almost never need to find anything. It's a decent compromise between separate files for everything (which would take too much effort) and not saving stuff at all. Even scanning stuff to save digitally is more work than this system. After 3 years the box gets burned. The exception is tax returns, they get saved separately.
- Symbiote 4y ago
  3 years is a bit short. In the last year or so, I've twice needed to find old documents -- ~5 and ~7 years old, respectively. I keep receipts for significant purchases (electronics etc) in one envelope per year. It's so little space I keep these indefinitely, so if I sell an 8 year old bicycle I should still have the receipt. Everything else is in an A4 (now this comment is on-topic) file, and with so much being electronic these days it takes a decade or more to fill one up.
- ghaff 4y ago
  I do file some things away (e.g. stuff I know I'll need to do taxes) and certain other things (like insurance) go into a fireproof box. But, for the most part, I do much less organization of paper than I used to, especially of things that I can probably just find in an online account. I have file cabinets but I rarely open them these days. Most of the paper I systematically save is going into my travel destination boxes.