You just watched the show with that organizing consultant who helps people de-clutter their lives. It’s inspiring seeing others go through closets and part with useless stuff they’ve unnecessarily hung onto for years.
You shut off the TV and head into the home office to check your email right before bed. Piles of unopened envelopes fill the desktop. Drawers are full with old paperwork. There’s no rhyme or reason to how it’s all stuffed in there. Suddenly, it dawns on you. Disorganized financial papers may be just as worthy of a life-changing de-cluttering project as cleaning out a messy basement.
Here are some simple steps to get started.
1. Say Goodbye
The problem is many of us don’t equate holding onto financial paperwork with untidiness. We think it’s important stuff we’ll need at some point. But truthfully, most of it’s really not worth keeping. If anything, it may be costing you time (looking through all your stuff) and money (when late bills and fees incur because of forgotten envelopes in that pile). You have to learn to say goodbye and discard.
Say farewell to ATM receipts after checking your bank statement. When a bill payment clears or you decide to hang onto a purchase, it’s time to part ways with statements or sales receipts, too. Unless it’s needed at tax time, as proof of value for insurance in the event of loss or damage, or for a warranty, it’s probably time to get rid of it once it’s been used. (If needed for a tax deduction, hold on to it for at least three years).