If your business is drowning in paper, Better Business Bureau of Southern Arizona has some guidelines for what you should keep and how long to keep it. To protect your own and your customers’ identities, shred anything with private or financial information before you discard it.

“Companies need to keep good records to stay on top of their business and, in some cases, to protect themselves from litigation,” said Kim States, BBB President. “A retention program that regularly reviews and destroys unneeded documents can reduce clutter and make it easier to manage day-to-day.”

BBB Tips for Record Retention Guidelines for Businesses:
Permanent Records

Accountants’ audit reports
Annual Financial Statements
Bills of sale for important purchases
Canceled checks (for important purchases)
Capital stock and bond records, other records dealing with the firm’s capital structure
Cash books
Charts of accounts
Contracts and leases (major and/or current)
Correspondence (legal and important matters)
Credit history
Deeds and mortgages
Depreciation schedules
Employee personnel records (after termination)
Financial statements (year-end) (more…)

Better Business Bureau announced today a nationwide “Secure Your ID” Day to be held on Saturday, April 17, 2010.  Individuals and small businesses are encouraged to stop at one of 55 locations across North America set up by BBB for free document shredding. BBB staff will also be on site to provide expert advice and tips for identity theft protection.

Identity theft continues to be a growing problem. Last year alone, 11.1 million Americans became victims of ID theft, a 12 percent increase over the previous year, according to a 2010 report from Javelin Strategy and Research.

“We all lead busy lives and fighting identity theft doesn’t always make it onto our list of priorities even though it is extremely important,” said Kim States, BBB President. “That’s why BBB is making it easy this Spring to get rid of outdated tax documents and other personal information while learning how to protect yourself and your family from ID thieves throughout the rest of the year.”

The National Association for Information Destruction is a National Partner for “Secure Your ID” Day and will provide document shredding at many local events. Select locations will also provide free, secure disposal of computers and cell phones. Information on local events including times, locations and available services can be found at http://www.bbb.org/us/secure-your-id-participants/.

As the result of two nationwide “Secure Your ID” Days in 2009, BBB helped individuals and small businesses at more than 133 sites across the country shred 1.3 million pounds of sensitive documents—all for free.  For more information on BBB “Secure Your ID” Day and identity theft prevention measures for both consumers and businesses, visit: www.bbb.org/us/secureID.
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If your filing system consists of piles of paper on the kitchen counter – or bulging file folders in an unlocked drawer – you could be setting yourself up for identity theft, Better Business Bureau warns.

“Identity theft prevention starts with safekeeping your records,” said Kim States, BBB President.  “Important documents shouldn’t be left out where anybody who comes into your home or office can find them easily. They should be secured in a safe place. Outdated records should be shredded.”

BBB sponsors two “shred days” each year, in Tucson and Sierra Vista, for consumers and businesses. Participants receive information on how to protect their identities, and they can shred as many documents as they like for a small donation.
While online identity theft gets lots of headlines, theft by someone who has access to your home is actually more common. People who work around your house, friends, even relatives can be tempted to pick up a credit card bill or bank statement left lying on a countertop.

The FTC estimates that as many as 9 million Americans have their identities stolen each year, costing individuals and businesses nearly $50 billion. Arizona is the worst state for identity theft, with around 300,000 people in the state having their identity stolen annually.

So what should you keep and how long should you keep it? Here’s a list of types of documents and suggested retention times:

• Tax returns and supporting documents should be kept for eight years. Supporting documents may include charitable donation receipts, medical bills and property tax records, for example.
• Records on contributions to individual retirement accounts should be kept permanently.
• Retirement and savings plan statements should be kept from one year to permanently. Keep the monthly or quarterly statements until the end of the year, then keep the year-end statement and (more…)