Record Retention
No office today is immune from the burgeoning paperwork as required by local, state and federal agencies. Coupled with this work is the sense of security one feels by keeping the records as long as possible.
Files can remain manageable if a schedule is developed to keep documents only as long as the legal requirements or the useful purpose has been met.
Please note: The non-filing of specific returns or fraud will not start the statue of limitations on filing and potentially allow an unlimited audit period.
| Type of Record |
Retention Period (years) |
| Accounting | |
| Auditor's reports | permanent |
| Bank deposit slips |
3 |
| Bank reconciliations | 3 |
| Bills of lading | 3 |
| Budgets | 2 |
| Cancelled checks | |
| General | 7 |
| Payroll | 7 |
| Taxes (payroll related) | 7 |
| Taxes (income) | permanent |
| Cash disbursement journal | permanent |
| Cash projections | 2 |
| Cash receipts journal | permanent |
| Chart of accounts | permanent |
| Contracts and leases | |
| Expired | 7 |
| Still in effect | permanent |
| Correspondence (routine) | |
| with customers/vendors | 1 |
| Correspondence (general) | 3 |
| Correspondence (legal) | permanent |
| Credit memo | 3 |
| Deeds, mortgages, and bills of sale | permanent |
| Depreciation schedule | permanent |
| Duplicate deposit slips | 1 |
| Employee expense reports | 7 |
| Employee personnel records | 7 |
| after termination | 3 |
| Employee applications | 3 |
| Expense analyses | 7 |
| Expense distribution schedules | 7 |
| Financial statements | |
| Annual | permanent |
| Interim | permanent |
| Freight bills | 3 |
| General journal | permanent |
| General and private ledgers | permanent |
| Internal audit reports | 3 |
| Internal reports | 3 |
| Inventory lists | 7 |
| Invoices | |
| Customer billings | 7 |
| Sales register tapes | 3 |
| Purchase | 7 |
| Journals | permanent |
| Notes receivable ledgers | 7 |
| Option records (expired) | 7 |
| Pension/profit sharing | |
| Plan & trust agreement | permanent |
| Financial statements | permanent |
| Actuarial reports | permanent |
| IRS approval letter | permanent |
| Ledgers & journals | permanent |
| Petty cash vouchers | 3 |
| Physical inventory tags | 3 |
| Plant costs ledgers | 7 |
| Production & sales reports | 3 |
| Property appraisals (outside) | permanent |
| Property records | permanent |
| Purchase journal | permanent |
| Purchase orders (non purchasing copy) | 1 |
| Purchase orders (purchasing copy) | 7 |
| Receiving sheets | 1 |
| Requisitions | 1 |
| Sales records | 7 |
| Savings bond registration record of employees | 3 |
| Scrap & salvage records | 7 |
| Stockroom withdrawal forms | 1 |
| Subsidiary ledgers | 7 |
| Time cards and daily time reports | 7 |
| Vouchers for payment | 7 |
| Corporate Records | |
| Articles of incorporation | permanent |
| Bylaws | permanent |
| Capital stock & bond records | permanent |
| Charter | permanent |
| Business & tax registrations | permanent |
