Record Keeping
Category: Organize Your Life
This check list is in the following categories:
Guidelines for keeping track of legal, financial, and medical records in case of emergency or an unexpected occurrence.
It is important to keep good records. Not just so you can find things, but also so others can find needed information if something happens to you. This checklist of record keeping information can help protect you in case of illness, accident, or the unexpected.
Record the contents of your wallet.
Make a copy of cards and keep a list of contact phone numbers in case your wallet is lost your stolen. Give this important information to someone you trust so they can call to cancel credit cards immediately.
Keep the last 3 years of tax returns.
If a tax return has been amended, it needs to be kept an additional 3 years.
File all tax-related papers together by year.
Keep receipts in an envelope labeled by subject. Re-write the total purchase amount and description on receipts that may fade over time.
Shred your documents and junk mail
You should burn or shred all credit card applications, forms, financial or medical documents that are not being filed. Important documents and some junk mail could be used to steal your identity.
Keep auto repair bills
It is helpful to know when repairs have been done and what they cost. Keep them in a separate file or in the vehicle.
Back-up computer files
If you make changes to your computer on a regular basis, an incremental back should be done every day (usually at night) and an additional full back up each week. You might consider using an online backup service or back up your files to an attached hard drive.
Use a Fire-Proof Safe
Make sure you have given a copy of the key to your safe, or the combination, to a person you trust. Let them know where it is located in the home and what it contains.
Use a financial software program to record income and expenses.
When assigning categories for personal expenses, use the same terminology as used on the IRS tax forms. Business expenses should be categorized using the descriptions and numbering system used on the Schedule C.
Using a credit card helps keep track expenses.
As long as you keep track of your expenses and pay off the credit card each month, using a credit card offering cash reward can actually make you money. Credit card companies often provide a report showing the amount charged by expense type (if desired.)
Record all mileage for medical, business, and travel to a non-profit organization.
The IRS needs total mileage by date (actual odometer reading is not necessary), destination, and purpose of travel. Even if you do not think you will have enough expenses to itemize deductions, you never know what could happen so it always best to record all mileage.
Keep at least one utility bill from every place you have lived.
This is helpful if you learn that you have "unclaimed property" through your state and need prove prior residence.