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6 Reasons to Keep Receipts…Or Not!

6 Reasons to Keep Receipts…Or Not!

When we work with clients in person to sort out their papers and create systems for them, we always run into the issue of keeping receipts.

For purposes of this article, we’re speaking about personal receipts for managing your household. Businesses should keep all receipts and should definitely use financial management software like QuickBooks or Peachtree to track and report on the information.

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Most personal expenses, however, are routine and irrelevant, and keeping all receipts would be a waste of time and energy. Do you really need a receipt to prove that you bought some gum along with your gasoline?

There are essentially 6 reasons that people should keep receipts:

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1. Proof of purchase for warranties: Receipts for any major purchase such as appliances, electronics, or jewelry should be filed in your warranty files and retained as long as you own the item. We usually make files with the major heading “Warranties & Instructions” and then have folders for subcategories of Major Appliances, Small Appliances, Electronics, Computers & Peripherals, etc. depending on the person’s buying habits.

2. Proof of major expenses: Receipts for any major expense for your car should be kept in a file for that vehicle, as long as you own it. Major home improvement expenses should be kept in a file for “Home Improvements & Repairs” and then kept with your tax records after you have sold the home.

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3. Merchandise returns or exchanges: If you possibly could return an item (or if you gave it as a gift), you may want to hold onto the receipt for 30 days or as long as the store’s return policy applies (some are only 14 days). After that point, you can either throw away the receipts or file them if you need them for warranty reasons. We recommend having a spot for these kinds of pending receipts, such as a slot in a letter sorter or a “waiting” folder, and cleaning it out periodically when full.

4. Expense reimbursements: You may need to be reimbursed for work expenses made with personal funds. First, find out if your company can give you a credit card to use for these items in the future to keep things simpler. You also might enjoy using NeatReceipts, a scanner/software combination made just for this purpose.

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5. Budgeting and reconciling: You may be trying to make sense of how much you spend in certain categories. With online banking providing more and more data, do you really need to track everything? Sometimes we talk with our clients about what I call “Quicken Guilt,” the feeling of inadequacy of not entering every receipt into financial software and reconciling everything to the penny. If you feel you must keep receipts for this reason, we recommend having a simple January-December expandable accordion file to quickly and easily put them away.

6. Tax deductions: If you are going to tell the IRS something, you need to be ready to back it up. We recommend having an income tax file for each year. Always have at least one year’s tax folder made up in advance so you’ll be ready when the paper arrives. When you do have a receipt that will be tax deductible, you can jot a quick note on it first and then drop it in your tax file. Tax organization needs can vary widely depending on your situation, but most households don’t have that much and one folder will do.

Other than these reasons, you generally do not need to keep receipts, so liberate yourself and throw some away today!

Lorie Marrero is a Professional Organizer and creator of The Clutter Diet, an innovative, affordable online program for home organization. Lorie’s site helps members lose “Clutter-Pounds” from their home by providing online access to her team of organizers. Lorie writes something useful, funny, interesting, and/or insanely practical every few days or so in her Clutter Diet Blog. She lives in Austin, TX, where her company has provided hands-on organizing services to clients since 2000.

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Last Updated on July 27, 2020

20 Time Management Tips to Super Boost Your Productivity

20 Time Management Tips to Super Boost Your Productivity

Are you usually punctual or late? Do you finish things within the time you stipulate? Do you hand in your reports/work on time? Are you able to accomplish what you want to do before deadlines? Are you a good time manager?

If your answer is “no” to any of the questions above, that means you’re not managing your time as well as you want. Here are 20 time management tips to help you manage time better:

1. Create a Daily Plan

Plan your day before it unfolds. Do it in the morning or even better, the night before you sleep. The plan gives you a good overview of how the day will pan out. That way, you don’t get caught off guard. Your job for the day is to stick to the plan as best as possible.

Here’s How to Create a To-Do List that Super Boosts Your Productivity.

2. Peg a Time Limit to Each Task

Be clear that you need to finish X task by 10am, Y task by 3pm, and Z item by 5:30pm. This prevents your work from dragging on and eating into time reserved for other activities.

3. Use a Calendar

Having a calendar is the most fundamental step to managing your daily activities. If you use outlook or lotus notes, calendar come as part of your mailing software.

I use it. It’s even better if you can sync your calendar to your mobile phone and other hardwares you use – that way, you can access your schedule no matter where you are. Here’re the 10 Best Calendar Apps to Stay on Track .

Find out more tips about how to use calendar for better time management here: How to Use a Calendar to Create Time and Space

4. Use an Organizer

An organizer helps you to be on top of everything in your life. It’s your central tool to organize information, to-do lists, projects, and other miscellaneous items.

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These Top 15 Time Management Apps and Tools can help you organize better, pick one that fits your needs.

5. Know Your Deadlines

When do you need to finish your tasks? Mark the deadlines out clearly in your calendar and organizer so you know when you need to finish them.

But make sure you don’t make these 10 Common Mistakes When Setting Deadlines.

6. Learn to Say “No”

Don’t take on more than you can handle. For the distractions that come in when you’re doing other things, give a firm no. Or defer it to a later period.

Leo Babauta, the founder of Zen Habits has some great insights on how to say no: The Gentle Art of Saying No

7. Target to Be Early

When you target to be on time, you’ll either be on time or late. Most of the times you’ll be late. However, if you target to be early, you’ll most likely be on time.

For appointments, strive to be early. For your deadlines, submit them earlier than required.

Learn from these tips about how to prepare yourself to be early, instead of just in time.

8. Time Box Your Activities

This means restricting your work to X amount of time. Why time boxing is good for you? Here’re 10 reasons why you should start time-boxing.

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You can also read more about how to do time boxing here: Get What Matters Done by Scheduling Time Blocks

9. Have a Clock Visibly Placed Before You

Sometimes we are so engrossed in our work that we lose track of time. Having a huge clock in front of you will keep you aware of the time at the moment.

10. Set Reminders 15 Minutes Before

Most calendars have a reminder function. If you have an important meeting to attend, set that alarm 15 minutes before.

You can learn more about how reminders help you remember everything in this article: The Importance of Reminders (And How to Make a Reminder That Works)

11. Focus

Are you multi-tasking so much that you’re just not getting anything done? If so, focus on just one key task at one time. Multitasking is bad for you.

Close off all the applications you aren’t using. Close off the tabs in your browser that are taking away your attention. Focus solely on what you’re doing. You’ll be more efficient that way.

Lifehack’s CEO has written a definitive guide on how to focus, learn the tips: How to Focus and Maximize Your Productivity (the Definitive Guide)

12. Block out Distractions

What’s distracting you in your work? Instant messages? Phone ringing? Text messages popping in?

I hardly ever use chat nowadays. The only times when I log on is when I’m not intending to do any work. Otherwise it gets very distracting.

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When I’m doing important work, I also switch off my phone. Calls during this time are recorded and I contact them afterward if it’s something important. This helps me concentrate better.

Find more tips on how to minimize distractions to achieve more in How to Minimize Distraction to Get Things Done

13. Track Your Time Spent

When you start to track your time, you’re more aware of how you spend your time. For example, you can set a simple countdown timer to make sure that you finish a task within a period of time, say 30 minutes or 1 hour. The time pressure can push you to stay focused and work more efficiently.

You can find more time tracking apps here and pick one that works for you.

14. Don’t Fuss About Unimportant Details

You’re never get everything done in exactly the way you want. Trying to do so is being ineffective.

Trying to be perfect does you more harm than good, learn here about how perfectionism kills your productivity and how to ditch the perfectionism mindset.

15. Prioritize

Since you can’t do everything, learn to prioritize the important and let go of the rest.

Apply the 80/20 principle which is a key principle in prioritization. You can also take up this technique to prioritize everything on your plate: How to Prioritize Right in 10 Minutes and Work 10X Faster

16. Delegate

If there are things that can be better done by others or things that are not so important, consider delegating. This takes a load off and you can focus on the important tasks.

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When you delegate some of your work, you free up your time and achieve more. Learn about how to effectively delegate works in this guide: How to Delegate Work (the Definitive Guide for Successful Leaders)

17. Batch Similar Tasks Together

For related work, batch them together.

For example, my work can be categorized into these core groups:

  1. writing (articles, my upcoming book)
  2. coaching
  3. workshop development
  4. business development
  5. administrative

I batch all the related tasks together so there’s synergy. If I need to make calls, I allocate a time slot to make all my calls. It really streamlines the process.

18. Eliminate Your Time Wasters

What takes your time away your work? Facebook? Twitter? Email checking? Stop checking them so often.

One thing you can do is make it hard to check them – remove them from your browser quick links / bookmarks and stuff them in a hard to access bookmarks folder. Replace your browser bookmarks with important work-related sites.

While you’ll still checking FB/Twitter no doubt, you’ll find it’s a lower frequency than before.

19. Cut off When You Need To

The number one reason why things overrun is because you don’t cut off when you have to.

Don’t be afraid to intercept in meetings or draw a line to cut-off. Otherwise, there’s never going to be an end and you’ll just eat into the time for later.

20. Leave Buffer Time In-Between

Don’t pack everything closely together. Leave a 5-10 minute buffer time in between each tasks. This helps you wrap up the previous task and start off on the next one.

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Featured photo credit: Unsplash via unsplash.com

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