Why People Do & Do Not Keep Financial Records (1286)

Why keep financial records? Consider the following reasons:

- You need them at tax time. Complete records make filling out income tax forms easier and quicker.

- You need to maintain control of your expenses. Records can help keep track of where money is going.

- Records can help pinpoint potential trouble spots before they get worse (e.g., increasing debt).

- Records will help you make decisions and plan future spending.

Unfortunately, many people don’t keep records. Some reasons people fail to keep records or quit once they’ve started include:

- Failing to review their plan and records so adjustments can be made when necessary.

- Not finding a budgeting system that fits their situation.

- Trying to plan for too long a time period (for more realistic budgeting, plan for six or even three months at a time).

- Failing to have the cooperation and support of all people involved.

Financial record-keeping can be time-consuming, but it is important. Take a positive look at all of the advantages that good records provide and start getting your financial house in order. You’ll be glad you did.

For more information on this subject, Please visit the College of Agricultural Sciences Publications Web site.

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