Key Takeaways

• Most bank statements should be kept accessible in hard copy or electronic form for one year, after which they can be shredded.
• Anything tax-related such as proof of charitable donations should be kept for at least three years.

How long should I keep bank statements for tax purposes?

Knowing that, a good rule of thumb is to save any document that verifies information on your tax return—including Forms W–2 and 1099, bank and brokerage statements, tuition payments and charitable donation receipts—for three to seven years.

How long should canceled checks and bank statements be kept for tax purposes?

The IRS and Tax Records The Federal Deposit Insurance Corporation website recommends keeping any cancelled checks or bank statements pertaining to taxes for at least seven years. The IRS can come after you for significant tax under-reporting for that length of time.

Is there a legal requirement to keep bank statements?

There is no legal obligation to shred your old bank statements, bills, or any other important documents. That said, if you are going to throw them away, shredding them – or mulching or burning them – is definitely for the best. So, invest in a cheap shredder, get it all chopped up, and recycle the whole lot.

How long should I keep bills and bank statements?

Keep Digital Copies Only and Shred the Hard Copies: Pay stubs and bank statements (keep for one year ) Credit card bills (shred after 45 days, unless you need it for tax or business purposes, or for proof of purchase)

Is it safe to throw away old bank statements?

All they need is access to your old mail, credit cards, and debit cards. ” Bank statements, credit card statements and other documents that contain your personal information should never be disposed of in an insecure manner,” says Debbie Guild, chief security officer at PNC Financial Services Group, Inc.

What records need to be kept for 7 years?

Keep records for 7 years if you file a claim for a loss from worthless securities or bad debt deduction. Keep records for 6 years if you do not report income that you should report, and it is more than 25% of the gross income shown on your return. Keep records indefinitely if you do not file a return.

Is there any reason to keep old bank statements?

Keep them as long as needed to help with tax preparation or fraud/dispute resolution. And maintain files securely for at least seven years if you’ve used your statements to support information you’ve included in your tax return.

Can I get bank statements from 10 years ago?

You can order copies of your statements beyond what is available online, up to 7 years ago. Your statement copy will be delivered online, free of charge. If you are an Online Banking customer, you can sign into Online Banking, and select Statements & Documents under the Accounts tab.

How long are banks required to keep bank statements?

Bank and Credit Card Statements Banks are required by federal law to keep records for five years. Check with your bank for specific details about how to access your old statements.

How far back can bank statements go?

The period requiring record documentation could go back many years, and banks typically only retain records for seven years (as little as two years for certain items).

How long should you keep monthly statements and bills?

Hold the returns and supporting documents for at least seven years. The IRS can randomly audit you three years after you file — or six years afterward if it thinks you skipped out on reporting your income by at least 25%.

What papers to save and what to throw away?

What Documents Can I Throw Away—and When?

• Tax Returns. Old tax documents are probably the number one category of documents we’re asked about.
• Bank Statements.
• Explanation of Benefits (EOB) Forms.
• Medical Bills.
• Utility Bills.
• Paycheck Stubs.
• Credit Card Statements.
• Wills and Estate Planning Documents.

How long should I keep credit card receipts?

Credit Card Statements: Keep them for 60 days unless they include tax-related expenses. In these cases, keep them for at least three years. Pay Stubs: Match them to your W-2 once a year and then shred them. Utility Bills: Hold on to them for a maximum of one year.

How long should I keep insurance documents?

Personal insurance documents should be kept for as long as they are valid. Business insurance policies should be kept for at least seven years after the policy has ceased for paper copies and at least 10 years for electronic copies.

What personal records should be kept permanently?

To be on the safe side, McBride says to keep all tax records for at least seven years. Keep forever. Records such as birth and death certificates, marriage licenses, divorce decrees, Social Security cards, and military discharge papers should be kept indefinitely.