Create a Filing System that Last

Do you find that you have stacks of paper collecting around the house? Paper organization can be a tedious process that is easy to put off. Once you have a good system in place it will only take a couple of minutes a day to stay organized.

What you needs to start a good filing system

File Storage

Hanging file folders- I prefer the 5 color folder

Label Maker or Printer

File Folders (depending on the file system you use)

1. Sort Papers

Start by going through your stacks of paper and decide what you need to keep, recycle and shredded. I typically toss a lot more than I keep, no surprise there. Deciding what to keep and what can go can be challenging sometimes. I have provided a few resources to help make those decision a little easier. Below is a list of things you can easily toss. If you still have more questions on what to keep and how long, I would recommend using this link as a guide from Dave Ramsey.

THE NO-BRAINER TOSS LIST

  • Records for big purchases you not longer own
  • Bank statements and utility bills over 1-year-old (after everything has been reconciled and unless needed for taxes)
  • Expired insurance
  • Monthly Investment account statement when you already have quarterly or yearly statements
  • Multiple copies of an outdated resume

Ask yourself as you sort, “What is the likelihood that you will need this paper again?”

This process can take hours to do, depending on how much you have kept. So give your self time and breaks throughout this process.

Note about receipts: If you like to save receipts I would recommend getting an app on your phone so you can take a picture of the receipt and categorize the purchase instead of you trying to keep all those little pieces of paper. I use Waves Invoice for my business but something like Smart Receipts Plus is great for personal finances.


2. Establish a filing system

First decide where and how you will be storing your files.

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  1. Amazon | 2. The Container Store | 3. Amazon | 4. Pottery Barn

I just switch ed to this file box since I am losing my office space, due to baby #2. We do not keep a lot of papers, so it works perfect for us. Next you will want to figure out what main categories you will need. Below is are a few that I find to be helpful.

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Here is what mine looks like. I do not use file folders, just the hanging folders. I think it looks neater. As you can see I have each category color coded and within those colors have subcategories to make each file specific. This will help with you locate information quickly.


3. Deal with papers daily

Now it is time to maintain the system that you have put in place. That is addressing the mail & children’s paper that comes in each day. Have a place that is assigned for dropping off mail and kids papers. Having a home for papers will keep you from losing bills and cluttering the counter.

Tip about Mail: Start with tossing the junk mail, put bills in an area where you will not lose them to pay at a later date, record invitations/events on your calendar, and file paid bills and other papers that come in each day. If you find that you are getting a lot of junk mail. Check out these sites/apps to help eliminate junk mail and credit card request with:

PaperKarma  – This app has you snap a picture of the junk mail and they will have you taken off the mailing list.

TrustediD– Is another company that gets rid of unsolicited magazines and junk mail (for free).

Opt Out Pre Screen- If you’re sick of getting those pre-screened credit offers you can go to OptOutPreScreen to get off that list.

Kids Paper/Artwork: Address your children’s papers from school each day by either signing it or tossing it, depending on what needs to be done. As for the artwork assign a file to each child for those special pieces. But don’t feel bad if you don’t keep everything they make. They come home with some much artwork.

If you take these tip you will have a well functioning filing system and ready for the next tax season.

Alex

 

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