Accountio / Templates / Finance policies / Record retention policy

Record retention policy template for finance teams

Set where your company keeps its finance records, how long each type is kept and how old records are deleted, with a checklist for the permanent year-end file. This record retention policy template is one Word policy with a retention table for UK and US records.

Finance teams
$15
In the pack
Finance policies and procedures manual
Files
8, Word and Excel
Buy the pack · $15
Global library · 101 packs

Get this pack and 100 more for $129

Finance policies manual · this packAML complianceCharity accountsEstate administrationMTD for Income TaxP11D and payrollingUK SRS readinessCarbon reduction planCIS+ 92 more
$129$1,42191% off

You save $1,292 on buying them one by one

Buy the global library · $129

What the policy looks like

Record retention policy template
What the policy coversSection in the policy
The single record of transactions
✓
Where records are keptYour accounting system, with supporting documents in one document store
Filing and scanning
✓
Where records are keptPaper originals scanned within a few working days, filed by year and then by process
Access and backups
✓
Where records are keptOnly finance staff can edit, with regular backups and a tested restore
UK accounting records
✓
How long we keep themSix years from the end of the financial year, longer for long-life assets or during a tax check
US tax and employment tax records
✓
How long we keep themThree years from filing as a rule, four years for employment tax
Other countries
✓
How long we keep themA line for the local period for each entity
Accounts, minutes and statutory registers
✓
How long we keep themKept permanently
Contracts, deeds, fixed assets and payroll
✓
How long we keep themA period for each, from the end of the contract or the life of the asset
Records with personal data
✓
Personal dataKept only as long as the schedule allows, with a yearly logged deletion
The permanent year-end file
✓
Year-end fileTrial balance, accounts, reconciliations, asset register, tax returns, minutes and audit report

Why you need one

Under the Companies Act 2006, every company must keep accounting records that show and explain its transactions and disclose its financial position at any time. HMRC asks for records to be kept for six years. A written policy sets out how long each record is kept and who deletes it. Adopt the policy or review it when:

  • You move to a new accounting system or document store
  • You set up a company in another country
  • You are clearing out old paper files or archive storage
  • Auditors or HMRC ask for records from earlier years
  • Your data protection policy needs retention periods for finance records

How to use the record retention policy template

  1. Name your systems. Fill in your accounting system and document store, and set the folder structure.
  2. Check the retention table. Keep the UK and US rows that apply, and add the local period for each other country you operate in.
  3. Fill in the bracketed periods. Contracts, deeds, fixed assets and payroll have suggested periods you can change.
  4. Name who deletes old records. They check with the FD that nothing is needed for an open dispute, claim or tax enquiry, then log the deletion.
  5. Build the year-end file. Tick off each item on the checklist at every year end.

Questions

How long should a company keep financial records in the UK?

GOV.UK says to keep company records for six years from the end of the last financial year they relate to. Keep them longer if a transaction covers more than one accounting period, you bought something expected to last more than six years, you sent your Company Tax Return late or HMRC has started a compliance check.

What does the Companies Act say about keeping accounting records?

Section 386 says every company must keep adequate accounting records, and section 388 says they must be preserved for three years from the date they are made for a private company, and six years for a public company. HMRC's six-year period is longer than the Act for private companies.

How long do you keep VAT records?

HMRC's VAT record keeping notice says you must generally keep all business records for VAT purposes for at least six years.

How long should US tax records be kept?

The IRS says three years in most cases, seven years if you claim a bad debt deduction or a loss from worthless securities, and at least four years for employment tax records after the tax is due or paid, whichever is later.

Which records should be kept permanently?

This policy keeps annual accounts, audit reports, board minutes and statutory registers permanently, along with a year-end file for each year.

Also in the finance policies and procedures manual

Governance, authority and segregation of dutiesDelegated authority matrixPurchasing and paymentsExpensesJournals, reconciliations and fixed assetsRevenue, credit control, cash and bankingFinance controls workbook

See the whole pack →

Who it's for

Finance directors and financial controllers who want one clear rule for where records live and how long they are kept.

Last checked

Checked against the Companies Act 2006, GOV.UK, HMRC's VAT record keeping notice and IRS guidance in November 2026.