How do you properly dispose of old financial stuff?

[ame]

I am in the process of cleaning out my filecabinet since I had not kept track of things well for the last few months, I have everything, I just finished organizing the greatest piles ever.

I have bank stuff from the bank I used in PA before I moved back here, all closed and stuff, and this is 3 years old, easily. I also have all the receipts and paid statements from old credit cards I had and closed, etc. And about 8 boxes of unfinished checks from either closed accounts or old addresses on current accounts. It''s taking up a ton of space. I can obviously shred all that credit card stuff and old bank statements. How do I get rid of these checks? Burn them?

But how far back should I hang on tothis stuff?

 

[AndyRosse]

You can shred the checks too.

 

[Kaleigh]

I would shred all the stuff from closed accounts, credit card stuff too. I think that you are supposed to keep checks for 3 years. Hubby is away..... playing golf. I''ll ask him when he calls.

 

[belle]

if you have a cross-cut shredder you can use that. of course, burning it would be the amest..er...safest

nothing really needs to be saved unless you will need it for tax purposes and then it is a 3yr. limit.

 

[Kaleigh]

Love that, burning it wll be the amest, belle you just coined a new phrase!!!

 

[Tacori E-ring]

I thought they could audit up to 7 yrs? Did they change it? Ame...I shread everything with my name on it. It is a diamond cutter so it would be hard to put back together. I tear the unused checks off of the backing and shread those. Old deposit slips too.

 

[AndyRosse]

The general rule is that they can audit up to 3 years. Of course, there are plenty of exceptions to the rule such as: if you omit more than 25% of your gross income, then the IRS can audit up to 6 years; if you file a false or fraudulent tax return with intent to evade taxes, then an audit can be done at anytime; if you don''t file any return, then an audit can be done at anytime; or if you make any willful attempt to evade tax, then an audit can be done at anytime.

 

[movie zombie]

i believe tacori is right that the IRS can audit for 7 years and that the prudent thing is to keep anything you might need for the same length of time. i guess you could get copies from the bank....for a fee, of course. but i could be wrong about the IRS audit time frame. i''m sure the IRS website would answer that question.

we shred and tear but during the winter i burn those types of things as we''ve got a woodburning stove going anyway.

peace, movie zombie

 

[movie zombie]

well, rascal pretty much answered that one while i was typing my first response! good to know!

peace, movie zombie

 

[AndyRosse]

Date: 10/21/2005 10:54:45 PM
Author: movie zombie
well, rascal pretty much answered that one while i was typing my first response! good to know!

peace, movie zombie

Yup, you can reference 26 USC § 6501 for more info. Our contact a lawyer or accountant for the best answer

.

 

[ame]

My parents are both accountants but they are sick of me today. I had a really crappy day at work so they are hiding from me. Otherwise they''d tell me. hehe

 

[Kaleigh]

Hang in there ame, sorry you had a crappy day.

 

[ame]

Well I managed to overheat both of my Fellowes shredders

I got through most of the stuff I was going to shred, except the old closed card accounts, and bank accounts. I have piles of checks to still do though.

 

[Tacori E-ring]

Date: 10/22/2005 12:46:04 PM
Author: ame
Well I managed to overheat both of my Fellowes shredders

I got through most of the stuff I was going to shred, except the old closed card accounts, and bank accounts. I have piles of checks to still do though.

I broke my last shredder so when I was buying my new one they asked if I needed shreader oil (I think that''s what it is called) I was confused and she said it is for the motor. You should put it on a piece of paper, then shread after 30 mins of shreading or at least once a month. So it sounds like you need a bottle of this too (it is pretty cheap).

 

[ame]

oh...ok I will look into that. Thanks