How to Organize & Set Up a File Cabinet
- 1). Separate papers into piles according to what is important to keep and what you can throw away. You’ll be surprised to find how many items you’ve kept that you don’t really need. Remember to keep tax records for the past seven years. Throw away bank statements after one year, unless you itemize deductions on your taxes.
- 2). Decide how you want to organize your papers. It’s helpful to separate papers by category, so you know where to look for certain records. As an example, for financial papers use one folder for utilities and other bills, one folder for each credit card you have, and one folder for each bank account and investment you have. Other categories might include automobile paperwork (maintenance, registration, car loan), health information for each family member, employment or education.
- 3). Gather file folders that you’re going to use in the file cabinet. Label each folder with the corresponding category.
- 4). Place the paperwork that belongs in each category into the folders. It’s a good idea to order the paperwork by date inside each folder.
- 5). Place each folder inside the file cabinet. Group folders by general category, such as finances, property and personal data, or alphabetical.
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