Many people interested in digital organization also need a system for handling physical documents. Why? Because we often deal with both digital and physical files, which are sometimes redundant or complementary. In this article, you’ll learn how to keep your physical filing system as simple and streamlined as possible—without losing track of important documents.
Why Keep Physical Files If Everything Can Be Digital?
It’s true: Thanks to digitalization and modern scanning technology, physical documents can easily be digitized and securely stored in a digital folder system. However, in many countries, including Germany, original documents still hold high legal relevance. Simple scans or digital copies often lack the same legal validity as originals or certified copies, especially for diplomas or certificates. While in the future, digital signatures may replace this need, physical originals are still essential for now.
This doesn’t mean your physical filing system has to overflow. In fact, the more we can store digitally, the leaner our physical filing can be. A simple structure is enough, and here I recommend a three-category system that helps you keep only what’s necessary.
The Three-Category System for Your Physical Filing
Here is a simple, proven, and flexible structure:
- Archive: This is where you store essential documents that need to be kept long-term, often for more than 10 years. This includes items difficult to replace, like birth certificates or specific notary documents. If these documents are critical enough that losing them would pose a challenge, consider storing them in a bank safe deposit box. Certified copies are also helpful if you don’t need the original on hand. Remember, the Archive category is for very few, truly essential documents.
- Medium-Term: This category is for documents you don’t need within the next year but still want to keep, such as old bank statements or canceled contracts you might need for reference. It’s essential that only documents you may need again go here. Often, a quick end-of-year review is enough to clean out this folder.
- Short-Term: This category includes all documents you need frequent access to, such as current tax records, your employment contract, or active agreements. This is the most frequently used section, providing quick access to the most needed files.
Additional Special Folders: Only When Needed
If it’s helpful for you, consider creating additional sub-folders, for example:
- Tax Folder for the Current Year: If you collect many receipts, it can be practical to store all tax-relevant documents from a single year together.
- Home/Property Folder: House or apartment documents, such as property deeds or floor plans, are often easier to manage if they’re in a dedicated folder.
- Project Folder(s): These folders work well if you have a major project, such as starting a business or moving abroad, that requires easy access to specific documents.
Conclusion: Simple is Better
With this structure of only three main categories, you maintain an overview and avoid complex sorting. Take the opportunity to regularly review your documents and keep only what’s essential in physical form. The rule is simple: Keep as much digital as possible, as little physical as necessary.
For those who want to dive deeper into digital organization, check out this post.
Checklist:
- Keep your physical filing system as simple and streamlined as possible.
- Scan physical documents and store them digitally.
- Continue storing critical originals like certificates and diplomas in physical form.
- Use a three-category system: Archive for long-term, hard-to-replace documents , Medium-Term for rarely needed records, and Short-Term for current documents you need frequent access to.
- Consider special folders for tax documents or property if needed.
- Regularly (i.e. yearly) clean out and assess what can be digitized and discarded.