November 9, 2012
How to Stop the Paper Trail – Receipt Storage
Let’s continue working through our paper trail, shall we? This week we’ve been tackling receipts. A few people wondered why I was sorting receipts…..if you itemize taxes and take deductions, you need to keep those receipts for at least 7 years in the event of an audit. So the receipts pile up.
Here are some guidelines from Bankrate.com.
Here’s the process I used to sort through my receipts:
1. sort them by year
2. then into categories that make sense for your filing system – my categories are:
food + entertainment
gas + travel
I put three years’ of receipts in one plastic box – as long as the envelopes are labeled, this is a great way to consolidate receipts and save on storage space.
You could use a shoe box, a small plastic box, large envelope, or another type of storage container.
I used these plastic storage document boxes:
Let’s talk receipts, shall we? What are you doing for your receipt storage?
Click here to see all the posts in this series.
i have a question, i want to know why you save receipts for? i’m from another country and we do not keep them? thanks
Receipts are kept for tax purposes mostly and in case you wish to return something.
I keep my receipts in a clear plastic envelope w/a front velcro closure I got at an office supply store.
Anna Dantzler Says
In the US, some expenses can be deducted from the income you pay income taxes on. The receipts are needed to document those expenses in the event you are audited by the US Internal Revenue Service. It’s my understanding that you can be audited up to 7 years after you file and they can request up to 3 additional years.
Great ideas… Love that you break it down simply and VISUALLY for me. Also, it applies perfectly to me, as I often come across random stacks or bundles of receipts that I pulled from purses I was switching, etc. thank you! I can do this!
Nice tips. Even I have used the shoe box for papers storage I warped up with coloured paper it was look nice.
Tara from AboutOne Says
These are great tips. If you want to avoid the paper clutter problem, you can scan the receipts with your smartphone and upload them to a cloud service like AboutOne.
I love this advice and your blog!
Where did you get the tin tubs you store some of your receipts in?
Becky SaysPost author
Target – in the dollar section 🙂
Debra Linn Says
I keep my receipts in small plastic pencil cases with zippers that go in a binder. Current month goes into my control journal. Others are put in file drawer. Ones that are for tax purposes go into current tax papers file, ones for major purchases get stapled to a copy of front of box or at least copy of model #, serial #, etc. Then into a file of their own.
Receipts for fuel, food, dining out, and miscellaneous are kept until billing statement comes and are checked. Then they are recycled.