No, you cannot just throw out all old documents; many require secure shredding to prevent identity theft, and others must be kept for legal or tax reasons. Shred documents with personal info, but keep vital records (birth certificates, deeds, wills) permanently and tax records for at least 3–7 years.
Documents you can toss after one year
Buy a cross shredder (``confetti not spaghetti''), shred lots of documents, mix the bits around, and throw them away in separate garbage bags. It will likely cost similar to using a shredding service and you can continue to use the shredder for sensitive documents.
Best way is to bring a shredder. Shred the documents. Keep in sufficiently large tub or bucket. Fill it with water. Keep as it is for few days. If you have garden, use the slurry as fertilizer or dispose off any way.
Keep records for 3 years from the date you filed your original return or 2 years from the date you paid the tax, whichever is later, if you file a claim for credit or refund after you file your return.
Keep records on assets such as stocks, bonds, and your home until the statute of limitations expires for the tax year in which you sell them. Dispose of old tax documents securely by shredding them or using a shredding service.
A paper shredder is one of the most common ways to dispose of sensitive documents and offers convenience and security. You can buy three different types: cross-cut, strip-cut, and high-security models for top-end paper destruction. Cross-cut shredders cut paper in two directions.
Destroying documents with your personal information reduces the likelihood of becoming an identity theft victim. Shredding is just one way to reduce the risk of identity theft. For other tips on preventing identity theft, visit ftc.gov/idtheft.
Don't toss the junk mail in the trash bin; shred it. Given merely your name, address, and a credit offer, someone could take out a line of credit in your name and spend money, leaving you on the hook.
It's best to keep your old mortgage statements and closing documents from your original loan. At least, until your new loan is fully settled. The maximum you may want to keep them is 7 years, which is the IRS's time frame for tax audits.
Keep for a year or less – unless you are deducting an expense on your tax return: Monthly utility/cable/phone bills: Discard these once you know everything is correct. Credit card statements: Just like your monthly bills, you can discard these once you know everything is correct.
Don't Dispose to the Dumpster
The law requires you to safeguard and dispose of confidential documents correctly. In the 1988 case of California vs Greenwood, it was decided that anything discarded becomes public property.
The 5-5-5 Rule for decluttering, popularized by Steph of The Secret Slob and Apartment Therapy, is a quick, low-pressure method that involves setting a 25-minute timer, picking five different zones in your home, and spending just five minutes tidying or decluttering each zone before moving to the next, making it ideal for tackling daily messes without feeling overwhelmed.
9 Paper Documents You Should Keep Forever in Their Original Form
Destroy paper documents permanently and securely
If possible, consider recycling your shredded documents, as long as you can do this without leaving the data easily available to others during that time. Alternatively, you could use a shredding service.
FedEx Office offers shredding services that are simple and secure. Visit select FedEx Office locations, where our team members can assist you in sending old tax forms, financial records, and other confidential documents to be safely destroyed with Iron Mountain Secure Shredding services.
Toss after a year (and after your taxes are filed):
Cable, telephone, internet and other streaming service statements (unless you're deducting them for work or home office-related expenses) Brokerage statements. Credit card bills. Pay stubs.
Shredding – The most secure way to dispose of confidential documents is through shredding.
Reporting cash payments
A person must file Form 8300 if they receive cash of more than $10,000 from the same payer or agent: In one lump sum. In two or more related payments within 24 hours. For example, a 24-hour period is 11 a.m. Tuesday to 11 a.m. Wednesday.
The "20k rule" refers to the traditional IRS threshold for reporting income from payment apps and online marketplaces on Form 1099-K: over $20,000 in gross payments AND more than 200 transactions in a calendar year. While a law (the American Rescue Plan) temporarily lowered the threshold to $600, recent legislation, the One Big Beautiful Bill Act (OBBBA) (OBBBA), has reinstated the $20,000/200-transaction rule for tax years starting in 2025, providing relief for casual sellers and gig workers.
Does Zelle Report Payments to the IRS: Form 1099-K Details. IRS Form 1099-K reports payments received for goods or services during the tax year from credit, debit, or stored value cards and TPSOs. The 2025 reporting threshold is $2,500 or more, which will be reduced to $600 in 2026.