The Rea Report Spring 2019 | Page 7

To Toss, Or Not To Toss INFOGRAPHIC When deciding whether to keep certain records and documents, asking yourself wheth- er it “sparks joy” isn’t enough. The IRS has some rules about how long you and your business should hold onto certain records – and it’s your job to make sure you are up- to-date on the current record retention schedule … to make sure you don’t get rid of something before you should. Here are some of the most common records and how long to keep them. For a comprehensive list, check out our official record retention 8 7 6 4 3 2 1 • Articles of incorporation • Audit reports of accountants • Brokerage statements • Cash books • Deeds mortgages, notes, leases, bills of sale and other property records • Copyright registrations, trademark registrations, patents and related papers • Financial statements • Purchase journals • Tax returns and worksheets • Invoices to customers • Invoices for vendors • Payroll records and summaries • Accounts payable and receivable ledgers and schedules • Checks • Expense analyses and expense distribution schedules • Inventories of products, materials and supplies • Notes receivable ledgers and schedules • Sales records • Employee personnel records (post-termination) • Expired insurance policies • Forms 5500, 8955-SSA, 5330, 1096, 1099-R and SARs • Employee payroll records (W-2, W-4, annual earnings, etc.) • Credit memos • Employee expenses reports • Internal audit reports • Production and sales reports • I-9 forms • Budgets • Cash projections • Bank reconciliation • Purchase orders • Receiving sheets schedule at www.reacpa.com/tool/record-retention-schedule. 7