A 30-second read by Victor Cannillo: Whether you are tired of piles of papers cluttering up your home or are trying to go “paperless,” it is important to know what documents you should keep and which you could shred.
Below we list some of the important documents the Federal Trade Commission (FTC) suggests that you should always keep:
- Birth certificates/ adoption documents
- Social Security cards
- Marriage licenses or divorce decrees
- Tax returns
- Passports or citizenship materials
- Familial death certificates
- For items like your home and car, you want to hold on to any automobile titles and home deeds for as long as they are in your ownership.
- To see more, click here.
Shredding Timeline - The FTC recommends that you wait:
- 7 years before shredding any tax-related receipts, cancelled checks, W-2s.
- 1 year before shredding bank statements, paid-undisputed medical bills, pay stubs
Items such as credit card statements can be shredded right away once paid. To help reduce capital gains tax, retain home improvement receipts until your home is sold.
To view the FTC’s safe-shredding timeline infographic, click here.
In addition to decluttering your home, shredding documents with personal information can help prevent identity theft. Just remember to keep the listed documents above for the suggested amount of time.
Feel free to reach out to us for any other questions.
Disclosure: This is a general communication being provided for informational purposes only. This material is not intended to be relied upon as a forecast, research, legal, tax or investment advice.