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I'll keep tax returns around for about 7 years same for bank statements. I don't keep W2's forever, they last only as long as the tax return which applies to them. I check my record at SS for earning reported. I don't see the need to keep W2s. I also don't keep bills after they are paid. I see no purpose unless you have itemized certain expenses. I have house "stuff" like paid off mortgage, line of credit, etc. Once a year I try to clean out one previous year of paper. I have a file folder from home improvements like the kitchen and bath and even when I've had a room painted as it has the information on the paint used.
Sentimental stuff, I've kept some. I'm not sure I still have them, but I saved the cards we received after we got married without telling anyone in advance. I had also saved the sympathy cards received after the death of our parents. I have little drawings the grandkids made that I can't part with. Every now and again I do go through this stuff and part with some.
Oh and I have the deed to the cemetery plots.........He/she who holds the deed controls the plots.
Keep something that shows how much you paid for your home and any other real property. Also keep receipts for any property improvements*. If you sell any properties and if the gains are taxable, those expenses will determine the basis of the property. Net proceeds minus basis equals taxable gain on sale. No way to know now what rules might apply in the future so no sense worrying about whether or not such a future sale would be taxable.
*Routine maintenance, such as a new roof, paint, repairs, etc,, does NOT affect the basis. Check with someone who has studied current tax law to confirm, though. Been a long time since I took Tax.
Thank you all for the replies. It seems I have been conforming to requirements. I've been a little excessive as regards tax papers and investment - I've never thrown any of them away. All neatly labelled in a steel file cabinet.
We had to get new birth certificates, marriage certificates etc. a number of years ago. We were in the process of applying for our green cards and had them all organized and ready to go to the government when the room they were in and then the house caught fire. The papers were next to our fire proof box, those papers that were still in the box were badly scorched and also had to be replaced. Fortunately we were able to get them replaced. Yes, we still have the scorched ones. According the the fire inspector the plug on the fax machine caused the fire.
01-09-2017, 05:49 AM
