How To Organize Bills

Many people struggle to organize bills, but once you set up a system, organizing bills and making payments on time is a breeze.  Here are a few tips for easy bill organization:

1. Make a list – list all of your bills along with their due dates.  An Excel spreadsheet can be helpful in sorting due dates, but a typed or handwritten list is fine, too.
2. Plan your payments – group your bills into payments due during each of your monthly pay periods.  Appoint every pay day as bill-paying day by marking a P on your calendar.  Pencil in 30 minutes for paying your bills.  Sometimes due dates for multiple bills fall around the same time.  If you’re having trouble paying your bills because due dates are too close together, call your service providers to request alternate due dates.
3. Designate one spot in your home for unpaid bills – whether it’s a folder, basket, or kitchen drawer, unpaid bills should be kept in one place.  The list you created earlier will help you track due dates, but you’ll save time and energy if you can easily retrieve bills when they need to be paid.  For online bills, allocate a folder on your computer to save e-mail notifications organized by month.
4. Create a filing system for paid bills – it’s a good idea to keep bills on hand for at least a year after you’ve paid them.  Tax bills, mortgage bills, student loan payments, and anything you write off on your taxes should be saved for seven years.  If you don’t have a filing cabinet, buy a plastic filing folder with multiple pockets.  Label each pocket by bill type, i.e. utilities, mortgage, doctor’s bills, tax payments, etc.  The 30 minutes you’ve designated on bill-paying day should give you enough time to write checks, make online payments, and file your bills.  If you make payments online, print out a payment confirmation to file.
5. Use a check registry to track your payments – if you’re on a limited income, prioritize bills so the most important ones get paid first.

Paying bills on time means fewer late fees and some companies provide discounts on bills paid before the due date.  Timely payments can actually save you money, so it’s well worth it to find a bill organization system that works for you!