Blog Entries - Record Keeping

Organize Financial Records for Big Dividends

December 11, 2013  |  Record Keeping

Written by: Doug Jacobs


A financial record keeping strategy pays big dividends.  A combination of digital and paper record keeping techniques is effective in taming the clutter. The basic principle is to assemble the documents by category. For example – some categories are investments, real estate, insurance, family records, and tax preparation.


Investment account statements and any trade confirmations keep until the year end statement is received. Verify the year end statement shows the investment’s initial purchase price and any reinvested proceeds so the tax basis can be calculated when the investment is sold. Keep the annual statements for at least three years (possibly seven in certain situations, described below) from the date the income tax return is filed. A good idea is to keep the annual investment statement as long as you are a customer of the investment company.

read more …