A business records retention schedule is a policy that states how long data must be stored and defines guidelines for how these data items might be discarded.
Record retention schedules also known as data retention schedule are categorised by the type of record and the business, compliance and legal requirements associated with the documents. Retention schedules determine the duration for which important information carrying documents should remain accessible for future reference and also when and what guidelines must be followed while destroying such data when it is no longer needed.
Schedule is based on data type and ownership, and aspects such as data’s business value and associated regulatory mandates are taken into consideration. The reasons for retaining certain records are also outlined and are designated what shall be done with the data when it becomes eligible for disposal. Business records retention schedule is designed to help in maintaining information compliance that are governance-related, as well as process of record disposal is assured. Since data volume continues to expand at several businesses, thus records retention agenda also helps to reduce storage and record management cost by arraying of data that is irrelevant to the business processes. The most important consideration for any data retention policy knows the duration for which certain documents should be kept. Your company’s accountant and attorney should give advice on considering a record retention schedule. The board must approve of it a s a policy and the staff should be advised to conduct a yearly file clean-up for disposing of documents that are no longer required. This schedule shall be used as a guide, modified whenever necessary to meet the specific needs of the company. Be sure to keep in contact of legal and professionals in accounting for specifics applying to the activities of the organization however deemed necessary.