Retention Guidelines

In business, good record keeping is essential not only for tax reporting purposes but also for the success of the company. The guidelines below give common retention periods for the most business records. Call us if you would like more information or assistance with your record retention program.

Accident reports/claims (settled cases)	7 years
Accounts payable ledgers and schedules	7 years
Accounts receivable ledgers and schedules	7 years
Audit reports	Permanent
Bank reconciliations	2 years
Bank statements	3 years
Capital stock and bond records, ledgers, transfer registers, stubs, etc.	Permanent
Cash books	Permanent
Charts of accounts	Permanent
Checks, cancelled (for important payments) taxes, purchases of property, special contracts, etc.	Permanent
Checks, cancelled	7 years
Contracts, mortgages, notes, leases - expired	7 years
Contracts, mortgages, notes, leases - active	Permanent
Correspondence - general	2 years
Correspondence - legal and important	Permanent
Deeds, mortgages, bills of sale	Permanent
Depreciation schedules	Permanent
Deposit slips, duplicates	2 years
Employment applications	3 years
Expense analysis/expense distribution schedules	7 years
Financial statements	Permanent
Garnishments	7 years
General/private ledgers, year-end trial balance	Permanent
Insurance policies - expired	3 years
Insurance records - current, accident reports, claims, policies	Permanent
Internal audit reports	3 years
Internal reports - general	3 years
Inventories	7 years
Invoices	7 years
Journals	Permanent
Magnetic tape and tab cards	1 year
Minute books of directors, stockholders, bylaws, charter	Permanent
Notes receivable ledgers and schedules	7 years
Option records - expired	7 years
Patents and related papers	Permanent
Payroll records and summaries	7 years
Personnel files - terminated	7 years
Petty cash vouchers	3 years
Physical inventory tags	3 years
Plant cost ledgers	7 years
Property appraisals by outside appraisers	Permanent
Property records (costs, depreciation reserves, year-end trial balances, blueprints, etc.)	Permanent
Purchase orders - except purchasing department copy	1 year
Purchase orders - purchasing department copy	7 years
Receiving sheets	1 year
Requisitions	1 year
Retirement and pension records	Permanent
Sales commission reports	3 years
Sales records	7 years
Scrap and salvage records	7 years
Stenographers' notebooks	1 year
Stock and bond certificates - cancelled	7 years
Subsidiary ledgers	7 years
Tax returns and worksheets, revenue agents' reports, etc.	Permanent
Time books/cards	7 years
Trademark registrations and copyrights	Permanent
Training manuals	Permanent
Union agreements	Permanent
Vouchers for payments	7 years
Withholding tax statements	7 years