Your Great Reasons to Keep Receipts…Or Not!

Receipts come in all shapes and sizes. From small convenience store purchases of candy or pop to big ticket items like a flat-screen television or a snowmobile. However, after completing the purchase to your satisfaction the natural reaction is to chuck the receipts into the trash - after all, why keep reminders of how much you paid lying around? Yet, hanging on to these receipts is quite important.

6 reasons that people should keep receipts

1. Proof of purchase for warranties

2. Proof of major expenses

3. Merchandise returns or exchanges

4. Expense reimbursements

5. Budgeting and reconciling

6. Tax deductions

via lifehack

How to File/organize receipts

If the receipt stems from a day-to-day purchase (e.g. groceries, gas) and is not required for tax or any other reimbursement purposes, you can discard the receipt only after validating (if applicable) the amount charged to your debit or credit card is the same as what you agreed to paying at the place of purchase.
If the receipt is for the purchase of a big-ticket item, a photocopy of the receipt and the original should be carefully stored along with other purchase documentation (operating manual, warranty card, etc.).
A receipt from a charitable donation or business-related expense that you will use for tax purposes should also be carefully stored (for up to seven years which is how far back the taxman can request documentation from you to support amounts in your tax returns).

via saveyoufool