Financial Records
When and How To Dispose of Financial Records
Business financial records include any corporate accounts statements, audits, forms and activity related to these procedures. Some of these documents may overlap with categories found in other sections within this guide.
Suggested Retention Duration for Select Financial Records
Document Type | Suggested Minimum Retention |
Accounts receivable, accounts payable ledgers and schedules | 7 years |
Audit reports | Permanently |
Bank statements, electronic funds transfer documents, deposit records, cancelled checks | 7 years |
Chart of accounts | Permanently |
Checks for large or crucial purchases | Permanently |
Correspondence with vendors and customers | 2 years |
Deeds, bills of sale, mortgages for held assets | Permanently |
Depreciation schedules and reports | Permanently |
Donations | 7 years |
Year-end financial statements | Permanently |
Garnishments | 7 years |
General business/finance ledgers, year-end trial balance | Permanently |
Government grants (funded) | 7 years after final closure |
Insurance policies | 3 years after expiration |
Insurance records such as claims, accident reports, settlements | Permanently |
Internal audit reports | 3 years |
Invoices to customers or from vendors | 7 years |
Inventory records | 7 years |
Loan documentation | Permanently |
Patents, copyrights, trademarks and related documentation | Permanently |
Petty cash vouchers | 3 years |
Property/asset appraisals | Permanently until sale |
Property blueprints and utility diagrams | Permanently until sale |
Purchase orders | 7 years |
Sales records | 7 years |
Corporate tax returns and worksheets | Permanently |
Timekeeping sheets, books, cards, etc. | 7 years |
Receipts and vouchers of payment to employees or vendors | 7 years |
Payroll tax withholding statements | 7 years |
Documentation of workers compensation claims | 10 years after final settlement |
Disposing of Financial Records Properly
Once the decided retention duration has passed according to your retention schedule, organizations are strongly recommended to completely destroy all financial documentation through a secure, transparent process.
This process will be identical to the recommended guidelines for secure document destruction found on the How to Dispose of Contracts page.
Different processes are outlined in paper and digital materials.
Other Documents
A similar table will be provided in the corresponding sections for:
- Corporate Records
- Business Taxes Records
- Personnel Records
- Management Plans and Procedures
- Contracts
- Donor Records
Important note: This list is only meant as a general guideline, not a substitute for legal advice. Consult your CPA or a New York business attorney for specific advice on best practices and legal compliance requirements.
NAID Certified
Complies with and fulfills all regulatory
requirements and policies of the
National Association for Information Destruction
What People Are Saying About Proshred®
As the manager for a self storage property, I contacted Safe Shredding to destroy over 200 boxes of old personal documents that had been left... read moreAs the manager for a self storage property, I contacted Safe Shredding to destroy over 200 boxes of old personal documents that had been left behind by a former Customer.Marie was very courteous on the telephone and she answered all of my questions and was very willing to work to keep the job within my budget.The team of gentlemen who came out to do the work were quick, efficient, and clean. They made sure that the area they were working in was left as neat as they found it.I will most assuredly be calling Safe Shredding for my future document destruction needs. read less
Raymond Baum9/27/2015Amazing turn around time, great phone communication and service without a hitch. Their employees went above and beyond with moving some items out of... read moreAmazing turn around time, great phone communication and service without a hitch. Their employees went above and beyond with moving some items out of the way to get to the paper. Great job! read less
Jonathan Ross9/27/2014After leaving messages for three other shredding companies without a return call, I was told about Safe Shredding by a friend. Their manager came... read moreAfter leaving messages for three other shredding companies without a return call, I was told about Safe Shredding by a friend. Their manager came out to my site to see my documents, provided me with an immediate quote and was able to schedule the service the next day. I wish everything was that easy. read less
Brian Marx9/27/2014We have used this company for the past 3-4 years for our business. From the first contact to the time they came to do the... read moreWe have used this company for the past 3-4 years for our business. From the first contact to the time they came to do the shredding was 3 days. Time it took to do the shredding, less than half an hour!!!! Both the representative and the people that came to do the shredding were very professional, courteous, and friendly. Over all it was a very pleasant transaction. I would highly recommend this company. read less
Matt Callaghan9/27/2015