Out With the Old, In With the New: Keys to Having a Document Retention Schedule

Why You Need a Records Retention Policy

A major part of good record keeping is creating a functional records retention policy. With the amount of data companies collect these days, it’s not financially feasible to keep every bit of information indefinitely. A data retention schedule will help your company decide how long sensitive documents need to be kept and when they can eventually be destroyed. It consistently purges unnecessary data to make room for incoming information -- or to simplify, out with the old, in with the new. This will protect you from potential legal issues and unnecessary storage costs.

Since different types of documents need to be kept for different amounts of time, (see our previous blog post about what can stay and what can go) it’s important to consult with your legal team to figure out when document destruction can be green lit. For example, the medical community needs to abide by HIPAA laws when it comes to patient records, but not for their tax documents.

If You Lack A Records Retention Policy...

Lack of a retention schedule opens you up to all kinds of issues:

• Efficiency plummets because it will take longer to sift through old data to find what you need.
• Your office space can be better put to use. Do you want to use the office down the hall for storage space or another team member that can help you grow?
• Storage is costly. Do you really need to have mountains of 20 year old paperwork lying around? (Assuming you don’t legally need them.)
• Speaking of legal, old documents can be used against you in legal disputes. If you’re able to destroy them in compliance with the law, you should.

Your company’s data retention schedule will vary by industry and local laws, so consult your legal team. 

R4 Services is able to store your documents for you, indexing them properly to save you time and money. And when the time finally comes for your documents to be destroyed, we ensure secure and proper destruction of any type of media -- from paper, to film, to x-rays. Contact us today to find out how we can save you time, money and space.