If you find you are spending too much time looking for paperwork/documents (really more than a minute is too much, you would ideally know exactly where your documents are), or having to reorder things you know you have laying around …somewhere…. it’s time to get the paperwork in order.
I know, it’s a dreadful thought. But think of it this way: you will spend less time and money organizing your files today than you’ll spend in the next week/month/year looking everywhere for them, or waiting for new ones to arrive.
Supplies needed:
- Hanging File folders
- File box (for hanging file folders)
- Pencil
Mark your file folders in an easy to understand order, try this as a starting point:
- [Name] – for [Name]‘s personal records (one for each person in the family/home, including children): will, health and life insurance, birth certificate, social security card, immunization record, report cards, etc
- [Marriage/Divorce/Custody/Child Support] – all court documents here, though you can opt to put the marriage license in one of the [Name] folders.
- [Insurance] – renters, home, as well a list of your belongings, in case of fire/theft/flood/etc
- [Taxes] – all tax information here (US readers read this IRS information page on how long to keep records)
- [Pay Stubs] – 1 for each wage earner in the house, keep for 1 year, basically until you get your W2 or other year end tax record
- [Bank] – for one each account, organize statements and other records by date
- [Credit Cards] – one for each card, keep statements, rebate information, etc
- [Vehicles] – 1 for each vehicle – auto insurance, title, warranty information, receipts for auto purchases and mechanical work, recall information, vehicle loan information, etc
- [Receipts] – for bigger ticket item like a stove, fridge, tv, etc. Keep until you no longer own the item, in case of theft/fire/flood/etc
- [Misc] – for those bits of paperwork that really just don’t fit anywhere else (don’t get frustrated and just stick everything here though – I’ve seen it happen)
- You may have other needs – For example: I have a folder for one of my children who has special needs. This folder contains therapy information, assessments, etc. While it could go in the [Name] folder, it is a huge stack of papers so it gets it’s own folder. Expand as you need, based on your life, but don’t over complicate it. Keep it easy to use, easy to find.
To save time opening/closing the folders, just make stacks for each section. Sit somewhere with a lot of room and your unorganized stack of papers, and a garbage can nearby. Lay out each folder, and sort through your documents onto the folders. Once every piece is sorted, slip the papers into each folder and tuck them into your file box. Toss papers you are positive you won’t need, sort them if you aren’t sure. Break every 15 minutes, get a coffee, stretch, put on some new music, but don’t let yourself get distracted. After a 3-5 minute break, start again.
Once you’re completely organized, now is the time to think ahead.
What if you have a fire? Or someone steals your file box (I’ve heard of crazier things being stolen)? It is not a bad idea to put your file folder into a fireproof/waterproof safe, or put originals in a safe deposit box and keep copies of documents like wills, birth certificates, etc, in the file folder, sort of as a place holder. On the copy, you might write “original at X location” to jog your memory if you (or someone else) needs the original.
It’s up to you to weigh the pros and cons of each choice, but I do highly recommend you pick one to safeguard these important documents because you do not want to be trying to prove your identity after a fire/flood where all your IDs, your birth certificates, etc, have burned up or been washed/blown away.
For convenience sake, you might choose to use a fireproof/waterproof safe in your home. Don’t think your papers are safe in a regular safe, they will be ruined in a large fire or flood. A safe like this one can withstand heat for an hour, giving firefighters time to put out the fire and get to your box; and is water resistant, giving you time to pull it out of the water.
I hope this post has been helpful to you in being able to find that missing piece of paper – or at least ensuring it’s replacement doesn’t get lost as well!
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