I think we all know about the standards of when purging is appropriate for policy info/history - needs to match retention policy. However, some items are a little less definite. I know there can be guidelines that differ in different states where laws could dictate, but these items usually don't have codified retention periods. So what's the shortest time you would retain these items?
Changes - didn't realize we could purge changes until today - so I went in and purged plenty. Wanted to retain longer than 1 year, which is the longest default delete option other than 'never'. Left about 2 years' worth.
Client activity items - Are there activities to keep permanently? Many could be kept for very short times (DOWN), but perhaps others dictate a longer period?
Direct Bill Transactions - we don't transact direct bill, so we have few of these - mostly MEM billings for closings.
GL History - Should correspond to accounting recommendations, but not sure my retention policy references specify this one.
Transaction History - we rarely go back more than a year, but similar to D/B transactions, I'm not sure our accounting retention reference specifies any period for these.
I will be updating our retention policy accordingly and haven't had these items specified in the past. Database sizes isn't a reason for me to set timeframes. We have PLENTY of HD space.
I look forward to some new options of items to clean up in Tam 2013.
I guess the SHORTEST time one should consider for some of these is the normal 2 year statute of limitations for filing a lawsuit. That would mean no less than 2 years after the policy period was active. Many feel that since many States mention a 7 year record retention policy then that is a convenient period. Longer if open claims exist on that policy.
GL should be kept forever. At least that is my feeling.
If you purge transaction history, it limits any production reports you can run also. You might want to archive the transactions also so you always have that accounting history. They are no longer visible in the transaction list and you can't report on them once archived, but you do have the information for a specific client if needed.
Changes - can set to delete (we used 1 year), as the endorsement should be in (and attached) by then. We kept only to ensure the endorsement matched what was requested.
Activity - should match your retention period, as this is your documentation of what you did, including phone calls, etc.
DB Transactions - aren't you applying commissions to the clients when received, which creates a transaction? Anyway, ALL financial records should be kept at least 7 years, and only deleted when accounting has confirmed there are no outstanding issues with the IRS.
GL, Transactions - see the note on the one above - keep for 7 years or possibly longer if any issues with the IRS.
Quote from: Jim Jensen on August 16, 2013, 09:41:47 AM
I think we all know about the standards of when purging is appropriate for policy info/history - needs to match retention policy. However, some items are a little less definite. I know there can be guidelines that differ in different states where laws could dictate, but these items usually don't have codified retention periods. So what's the shortest time you would retain these items?
Changes - didn't realize we could purge changes until today - so I went in and purged plenty. Wanted to retain longer than 1 year, which is the longest default delete option other than 'never'. Left about 2 years' worth.
Client activity items - Are there activities to keep permanently? Many could be kept for very short times (DOWN), but perhaps others dictate a longer period?
Direct Bill Transactions - we don't transact direct bill, so we have few of these - mostly MEM billings for closings.
GL History - Should correspond to accounting recommendations, but not sure my retention policy references specify this one.
Transaction History - we rarely go back more than a year, but similar to D/B transactions, I'm not sure our accounting retention reference specifies any period for these.
I will be updating our retention policy accordingly and haven't had these items specified in the past. Database sizes isn't a reason for me to set timeframes. We have PLENTY of HD space.
I look forward to some new options of items to clean up in Tam 2013.