Manage Financials and Documents
Documents that accompany transactions is crucial to ensure page of compliance, auditing, and keeping records. It also aids in dispute resolution accountability, future planning, and dispute resolution. Documentation is also important in order to ensure compliance with regulatory requirements and safeguard information and data from being lost or stolen.
Some of these documents remain physical, however many are now stored electronically for convenience and security. Some examples include investment documents and receipts, important purchases, bank statements and bills, tax files, life insurance policies, and real estate deeds.
The best way to organize these documents is to create an efficient system of filing that reflects the types of documents you frequently use. A organization structure that incorporates categories such as “Estate and Legal” Bank Accounts”, “Investments”, and “Utilities” will prove useful. You can further subdivide each category to help you quickly find the documents you’re searching for. It is also important to use keywords and abbreviations that are understandable by you or anyone else searching for a specific document. Date formatting using the YYYYYYMM-DD format is also recommended for ease of sorting and reference.
In addition to establishing a system of organization for your paper files, think about making the decision to go digital and store your financial documents in an online location in the cloud. This lets you have more control over your files and helps to keep them organized while reducing the risk of misplacing or losing the document. Additionally digital storage is more secure than physical storage as thieves are not able to hack into your computer as easily.