By Thrivent magazine editorial staff

Gift Guide

Wonder whether you have already given a relative a particular gift? Ever have trouble remembering likes and dislikes? A list organized by name is the solution.

What to Shred

• Unused checkbooks from closed accounts
• Pre-approved credit card offers
• Canceled checks and bank statements (see "Don't Forget" section)
• Proxy voting materials (after you have voted)
• Old credit reports
• Credit card receipts (see "Don't Forget" section)
• Utility bills (see "What to File" section)
• Withdrawal or ATM slips (after transactions appear correctly on monthly statement)

5 Quick Tips

1. Decide what to do with each piece of mail as it arrives.
2. Don't shred anything with "1099" on it.
3. When in doubt, file it.
4. To save space, don't file envelopes—and file statements flat (not folded).
5. For insurance, create a household inventory, with photos, and store it in a safety deposit box.

What to File
"THE BIG 3"

File signed copies of your will, medical directive and powers of attorney. If you don't have these documents, contact your attorney. If you wait until you need them, it's already too late.

Paid Bills
Save the past year's worth, marked "paid" with the date and check number. If they cover expenses deducted for tax purposes, save the past seven years worth.

Tax Returns
In the case of an audit, the IRS can require you to produce your last three tax returns—six if it believes you seriously under-reported your income.

Social Security/Medicare/Veteran's Benefits
File all forms, including correspondence with a health care provider or government agency regarding current or potential benefits with a "three-year look-back" mindset. Have your bank or credit union keep copies of all canceled checks, Social Security statements and any check stubs.

And Don't Overlook

• Original birth, death, marriage certificates


• Current passport


• Social Security card


• Photocopy of driver's license


• Mortgage paperwork and payment history


• Leases and titles (apartment, car)


• Insurance policies


• Medical records, certificates of coverage


• Property tax bills


• Auto repair records

Don't Forget

Thrivent Financial Summary Statements
Keep these annual statements (which provide a snapshot of the products you hold) on file for the past seven years.

Investment Statements
(mutual funds, IRAs, 401(k) plans)
Still own the investment? File it. Sold the investment? Keep a record of all sales or rollovers, as well as any statement related to a tax return filed within the past seven years.

Credit Card Statements
Keep the past year's worth, unless you deduct purchases from your tax bill, in which case you should save all statements.

Bank Statements/Canceled Checks
File the past year's worth in case of payment dispute. Keep checks written for home improvements, major purchases or tax-deductible items/gifts.

Computer Tips

Handling your finances online? Have you saved scans of important documents on your hard drive? Here are four things to keep in mind:

• Store a regular backup of your files in a separate location (safety deposit box).


• Use and regularly change passwords.


• Don't reply to e-mails asking for financial information.


• Erase your hard drive if you sell your computer.

Next Steps

Now that you're organized, here are six next steps from Todd Gillingham, senior financial consultant with Thrivent Financial for Lutherans in Lake Elmo, Minnesota:

1. Call your Thrivent Financial for Lutherans representative and schedule a quick status meeting to review your current financial picture.


2. Time is on your side. Save and accumulate retirement assets. Take a look at what you have in place already—and what else you might be able to do, including investing in Traditional and Roth IRAs.


3. Analyze your asset allocation. Learn how to take advantage of the market with proper diversification in your retirement portfolio.


4. Make sure the foundation is in place. Look at life insurance and disability income needs. What kind of death benefit should be available to take care of costs?


5. Begin planning for your legacy, whether you have children or not. Put together a will, a durable power of attorney and a health care directive.


6. Explore college savings options. There are several options, including Coverdell Education Savings Accounts, which can help you save in a tax-efficient way.

Thrivent Financial for Lutherans and its respective associates and employees cannot provide legal, accounting, or tax advice or services. Work with your Thrivent Financial representative in collaboration with your attorney and/or tax professional for complete details.

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