A common question accountants get is, “How long do I need to keep my tax returns and source documents?” The answer is almost always, “Well, it depends.” There are different record retention recommendations depending on the action or event the document pertains to.
Keep in mind there is no legally binding time period for which you must keep a document. You can keep your records for as long or as short as you’d like, but before firing up the shredder, you should consider some established record retention best practices. Below are two record retention guides we recommend.
You will never regret keeping good records and with today’s technology record retention is easier than ever. Online file storage services such as Dropbox, Google Drive, Apple’s iCloud and many others have made it easy to digitally save, sort and retrieve documents from anywhere. When storing documents, whether it be physical or digital, security is paramount. Make sure your data and records are protected.