Hello Friends. I am very excited to write this blog. This blog focuses on the management and organization of financial records and documents. It may seem very tedious but, trust me, today I will try to make it simple and engaging for you.
One of the most common signs which depict your unorganized nature in terms of your storage, documents, and records is,
You are not able to find any of your documents on time.
Let me ask you a few questions.
- In case of a medical emergency, can you provide the “Health Insurance Card” to the hospital?
OR
- If you want to claim your warranty service related to your TV, can you easily provide the Proof of Purchase to the vendor?
OR
- Can you find your Cheque Book easily in case of need?
If your answer to the questions is ‘NO’, you are at the right place.
You will end up making a mess in your cupboard if you are not organized. Sometimes this habit can cost you in terms of money and time.
The important tips are listed down below that you need to follow to ease your Financial Life,
Maintaining a separate File or Folder for each Family Member:
- Maintain a separate folder for every family member. Store documents member-wi
- se. These documents can be Certificates, Identity proofs, Banking related documents, etc.
- By implementing this, you will have a clear idea of where to find which documents.
Section-wise Storage of Financial Documents & Records
After maintaining a separate folder for every family member, keep the documents according to different types & sections and frequency of their use.
| Documents Type | Examples | Frequency of Need |
| Section-1 KYC documents | PAN Card, Adhar Card, Driving License, Passport, Voter ID, etc. | Very High |
| Section-2 Bank Documents | Cheque books, Saving a/c. passbook, Bank Forms /slips that you may need frequently, ATM/Debit/ Credit Cards/ Passport size photos, Bank loan sanction letters, Loan a/c. statements etc. | Very High |
| Section-3 Investment Documents | Bank FD /RD receipts, RD Passbooks, Demat A/c. & Mutual Fund A/c. statements, NSC & KVP Certificates, Shares certificates, PPF Passbooks, EPF Passbooks, Commodity (Gold/Silver) ornament purchase receipts, etc. | High |
| Section-4 Other Miscellaneous documents | Job Appointment letter, Salary slips & Form 16 (If salaried), Income Tax Returns, Bills/Invoices of consumer durables/ electrical items at home, Other Educational degree certificates/Mark Sheets, etc. | Low |
| Section-5 Property documents | All documents related to your residence /Plot/Shop/ Land etc. (Sale Deed/ 7/12 extract, Commencement/Completion certificate, NMC tax payment receipt/Any other ownership document) | Very Low |
Keep Xerox copies of important documents
- Many times, you may need to submit a photocopy of identity cards to the bank. You are required to submit a photocopy of your KYC documents even when you apply for a loan, credit card, or purchase a SIM card.
- Hence, it is advisable to keep photocopies of your identity cards handy.
Always carry Passport size photographs with you
- Like photocopies of documents, you also need to carry at least one passport size photograph with you. You may think this is an obvious and primary thing. But, trust me, many people forget this and have to rush at the 11th hour.
- Implement this tip to save time and effort.
Save Photos of all the Bills & Invoices of products
- Dedicate one device to store the photos of items purchased. Those items can be electronics, Consumer durables, ornaments, etc. The device can be your mobile phone or tab.
- This habit will save a lot of time. You can refer to the same in the future or at the time of claiming a warranty.
Store all your Passwords on the Computer and lock the File/Folder.
- Nowadays, everything is becoming online. Just check your mobile. Every application has a password.
- You need to remember a lot of passwords, User IDs, PINs to transact. Sometimes this is sensitive information when it comes to monetary transactions.
- This online world is getting complex, especially for senior citizens. They find it challenging.
- Hence, store all your passwords or any other information, for that matter, in digital form.
- Teach your parents to do the same and make them aware. Let them be independent.
- Remember to set another password to that file for safety purposes.
Yes……another password. It may sound contradictory, but it is worth it. Now, you need to remember just one password to access the file.
Record your Income and Expenses manually or digitally
- Track your daily expenses manually or digitally. That is not time-consuming. Recording your expenses is less than a minute of work.
- You must have spent your minute taking a selfie when you go out for dining. You need the same amount of time to record your expenses.
- It will help you to avoid spending on unnecessary items & maximize savings.
- Maintaining this data for the next six months will help us to identify whether what you are spending is on the right track.
Tips which I have specified in the blog are most practical & easily implementable. You all can connect with it.
These tips will create and develop a sense of discipline and organization. And you will be able to manage your Financial Records & Documents easily.
Anything which you are already implementing? Comment down below right now.
Share this blog with your loved ones.