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®
This was the first time using Safe Shredding for my company. I was very happy with the service, both the prompt response in setting up... read moreThis was the first time using Safe Shredding for my company. I was very happy with the service, both the prompt response in setting up an appointment and the efficiency of the driver and office. I would definitely use Safe Shredding again. read less
Marra Mazzella9/27/2016I highly recommend Safe Shredding. They arrived at my place of employment on time and were incredibly professional and nice. I would definitely... read moreI highly recommend Safe Shredding. They arrived at my place of employment on time and were incredibly professional and nice. I would definitely use them again for our shredding needs. read less
Matt and Jenn M.9/27/2014As 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 Baum9/27/2015I have been using Safe Shredding for a few years now, and every experience has been a positive one. I make one phone call,... read moreI have been using Safe Shredding for a few years now, and every experience has been a positive one. I make one phone call, and the job is usually done the next day. It's that simple. read less
Elliot Gorman9/27/2013We found Safe Shredding to be very courteous, efficient and professional. this is the second time we used them for our year end shredding... read moreWe found Safe Shredding to be very courteous, efficient and professional. this is the second time we used them for our year end shredding and we will surely us them again. read less
MIRIAM KAHAN9/27/2017