A word of advice: when tossing old documents, if they have pertinent information like your name, credit card number or Social Security number on them, use a shredder or a pair scissors.
So what should you keep? The following is an excerpt from my most recent book, Money
Taxes: Maintain a separate file for each calendar year for your personal tax data: records of income, transactions such as property sales, itemized deductions, etc. IRAs or pension contributions should be noted in this file as well as having a folder of their own. Keep copies of Form 1099s, as well as any documentation of your deductions, such as cancelled checks. Keep tax returns for at least 7 years "
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