Business Records Retention Schedule
“How long should I keep my business records and financial documents?” is a common question from both entrepreneurs and established business owners. Even in today’s digital, cloud-based era, we find that it is a wise choice to follow the ‘better safe than sorry’ approach for storing your business’s records.
The following Business Records Retention Schedule has been developed strictly as a guide only and should not be solely relied upon. Consult with your accountant and/or legal counsel prior to disposal of your business records if you are uncertain.
Business Records Retention Schedule
- Abstracts, deeds, mortgages, bills of sale and other papers pertaining to sale of real estate
- Audit reports of accountants
- Books of original entry (i.e., cash receipts and disbursements including general journal entries)
- Capital stock and bond records; ledgers, transfer registers, stubs showing issues, record of interest, coupons, options, etc.
- Cash books
- Charts of accounts
- Checks (cancelled for important payments, i.e., taxes, purchases of property, special contracts; checks should be filed with the papers pertaining to the underlying transaction)
- Contracts and leases still in effect
- Correspondence (legal and important matters only)
- Depreciation schedules
- Employment applications for present employees (rejected employees one year)
- Financial statements (annual or end-of-year; other months optional)
- General and private ledgers (also end-of-year trial balances)
- Insurance records, current accident reports, claims, policies, etc.
- Investments: security and asset acquisition records
- IRS audit reports
- Journals
- Minute books for directors and stockholders including by-laws and charters
- Property appraisals by outside appraisers
- Property records including costs, depreciation reserves, end-of-year trial balances, depreciation schedules, blueprints and plans.
- Tax returns and worksheets, revenue agents’ reports and other documents relating to determination of income tax liability.
- Titles
- Trademark registrations
- Accident reports and claims (settled cases)
- Accounts payable ledgers and schedules
- Accounts receivable ledgers and schedules
- Bank statements
- Cancelled checks (except important payments, see ‘retain permanently’)
- Charge tickets (encounter forms or super bills)
- Contracts and leases (expired)
- Employee personnel records (after termination)
- Expense analyses and expense distribution schedules
- Insurance policies (expired)
- Internal audit reports
- Inventories of products, materials and supplies
- Invoices to customers
- Invoices from vendors
- Notes and receivable ledgers and schedules
- Option records (expired)
- Payroll records and summaries including payments to pensioners
- Petty cash vouchers
- Plant cost ledgers
- Purchase orders (purchasing department copy)
- Royalty statements or computations
- Sales records
- Savings bond registration records of employees
- Scrap and salvage records
- Stock and bond certificates (cancelled)
- Subsidiary ledgers
- Time books
- Voucher registers and schedules
- Vouchers for payments to vendors, employees, etc. (includes allowances and reimbursement for travel and entertainment expenses)
- Correspondence (general)
- Employee personnel records (after termination)
- Employment applications
- Insurance policies (expired)
- Internal reports (miscellaneous)
- Physical inventory documentation
- Bank reconciliations
- Correspondence (routine, with customers or vendors)
- Duplicate deposit slips
- Purchase orders (except purchasing department copy)
- Receiving sheets
- Requisitions
- Stockroom withdrawal forms
There are some records you should retain even if you no longer engage with that business or vendor. Insurance records fall into that category.
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