Paperless Office. Have any suggestions?

[OldJack]

But when the power is off you still keep working, frequently pulling files from drawers to work on them?

Holland, a few of us around here remember preparing tax returns before computers and tax software. In a pinch we can still do that.

No, I don't go paperless because I prefer paper copies of tax returns rather than backups of computer media. I also maintain client pdf and software files for short-term and statute of limitation periods just like you do. Paper is cheap and a better backup than computer media.

[thomtax]

Caveat

it takes me about 10 minutes to roll the generator out of the back room to the sidewalk and crank the network back up.

Like you, I have a generator in the back room. However, one word of caution. After being gone for a few days, I came in the back door and the back room was standing in about a 1/2 inch of gasoline. It seems the carburator decided to let go. Now I keep a container under it to catch gas if it happens again.

LT

[Gretel]

Why is it so hard to just execpt a different view? There are good reasons for going paperless and good reasons to not do it.

I would like to find a system for myself to go partially paperless, which doesn't cost a lot of money besides money spend on a real good and fast scanner. Any input here? I also would like to know how you write notes on the document itself. I don't pay for PDF right now but was wondering if the paid version gives you everything you need for let's say printing a single page from a tax return and making notes on the document itself.

I, like Old Jack, don't trust the electronic age and believe caution is well advised. No further comments but please respect my point of view.

[jainen]

Consider the difference

>>I would like to find a system for myself to go partially paperless<<

Consider the difference between document storage, which eliminates your boxes of paper, and document management, which integrates with your software and allows notes and more. There are all sorts of variations--I print mailing labels as needed, rather than keeping an inventory of different envelopes.

PDF is a key element for your personal system. Your CLIENTS (remember them?) are also interested in reducing paper and are starting to use and demand electronic records. PDF printing should be a minimum requirement in your choice of software this year, but you can also find free PDF creators and editors on the Internet.

You might consider scanning capabilities in your next copier. It will probably be more durable than a desktop scanner.

[Roberts]

ease

I wasn't aware so many people in this country had such frequent power outages. )

If such events guide your life, what will you do if the next power outage on February 1st is caused by a fire which burns your entire office to the ground - including all those precious files? For me I would just go to Office Depot and buy a new laptop, upload everything from my home backup copies and be in business by February 2nd. All customer account records are online and all customer documents are in electronic format.

As an NASD broker dealer we are required to have a plan in place in case a disaster causes us to lose access to all of our data and records.

If the power goes out in my office I would unplug my laptop, take it home and re-open shop with all my documents in place.

If you think it takes very long to move media from a DVD to a new form of electronic storage - we probably now understand the real reason why you aren't shifting to a paperless environment I could make a new copy of everything in our files on a new medium in a few hours some weekend morning. Or I could do it while watching a football game some Saturday )

[Maria]

Not True

"There are more three in this world than ever been." Not ture, if you pay a little bit closer attention to the environment, you will find the opposite. Although this country is well protected, mast majority countries, especially developing countries are not!

And I am going vegetarian! Cows, pigs, chicken all have brought diseases, largely due to mass production.

[MAMalody]

Just don't buy the Ca spinach...I hear it can be a killer.

I think we are in a do-loop here.

[Gretel]

I’ve gone part way paperless.

I keep a hard copy of the tax return for three years, then it gets shredded. That allows me to have a hard copy of the return the next year when interviewing the client.

All W-2’s, 1099’s, K-1’s, notes, and other documents get scanned as JPEG files (I can scan them as fast as I can make photocopies). I save the files in separate folders per client, per year. Easy to keep. Easy to backup on multiple hard drives and multiple computers. It also gets backed up automatically every night over the internet to an offsite location, in case of fire or theft.

Each tax return is also saved as a PDF for multiple hard drive multiple computer backups.

I do not use a file cabinet program, as I know how to create my own filing system where I can retrieve data as fast as OldJack can pull a paper document out of his filing cabinet.

Since going to this system, I have cut down on paper consumption over 50%, saved on laser printer toner, and reduced the time it takes to shred old tax documents. None of these new procedures have increased the time it takes for me to service a client.

Bees, I am coming back to this old post.

Why do save your scanned documents as JPEG and not as PDF? Do you know anything about the file size difference between these two formats?
Do you just create different folders in your document folder for each client and then route the scans plus ProSeries PDF tax returns to these folders or do you just keep the scanned documents in the folders? How about your e-mails, do you keep them as e-mails or save them into the folders as well, and if yes, how do you do this and can still read the document?

I was thinking of getting the ProSeries DMS soon but if there is any good manual system I would not want to spend the money. It sounds like you are happy with what you have. Pretty soon ProSeries will have the capability to scan tax forms right into the tax return but I bet then you will need to have their DMS.

Thanks, Gabriele

[Bees Knees]

Why do save your scanned documents as JPEG and not as PDF? Do you know anything about the file size difference between these two formats?

Either file format is fine. The idea is, in 3 years after you have had to change computers, or change software, or whatever, you want to still be able to access your data files without having to re-load your old tax software. A JPEG or a PDF file format will be around for as long as I will ever do taxes, and any future computer I purchase will already have software loaded to be able to read these files.

As to size, I don’t know. Seems to me PDF takes more horse power than JPEG, but with today’s hard drive sizes, I don’t think it really matters.

Do you just create different folders in your document folder for each client and then route the scans plus ProSeries PDF tax returns to these folders or do you just keep the scanned documents in the folders?

I have a folder on my C drive called “Tax Folder.” Within that folder, there are the following folders:
• ProSeries Data files
• Client supporting documents
• Accounts receivable
• Letters to clients
• Other stuff

Within the ProSeries Data files, there is a folder for each tax year. Within each tax year, there is a folder for ProSeries data files for each client, another folder for PDF files for each client. The ProSeries data files I delete after 3 years. I plan on keeping the PDF files forever so that I will always have access to their old tax returns.

Within the Client supporting documents, there is a folder for each tax year. Within each tax year, there is a folder for each client. Within each client’s folder, I put all of the scan data files, other data files such as Excel supporting spreadsheets I may have created to do their return, or PDF files they have emailed to me such as P&Ls, check registers, etc.

Within the Accounts receivable folder, there is a folder for each tax year. Within each tax year, I have all the Excel invoice data files that I send out to each client.

Within the Letters to clients folder, there is a folder for each tax year. Within each tax year is the Word Doc data files with the instruction letters for each client, telling them to review the work, then sign and date the 8879, instructions on how to pay if they owe, estimated taxes, etc.

Other stuff is data files like the organizer in PDF format, template letters for various things, other tax season data files I might use, etc.

Its no different than organizing a file cabinet with paper files. You can create your own folders on your computer to your liking. There is no reason to buy software that organizes the stuff for you, if you already know how to organizer a real file cabinet.

How about your e-mails, do you keep them as e-mails or save them into the folders as well, and if yes, how do you do this and can still read the document?

I have an internet based email service, which means the data files for each email is stored on a server that hosts our website. They gave me a huge storage capacity, so every client email I have ever received or sent is stored in folders through the email program. I suppose I should download those files in case the web server ever dies, however, they have their own backup so if it did die, they are supposed to be able to restore all my saved emails.

As to ProSeries being able to scan tax documents, I’m not sure I care for that. It would take me years to learn to trust that everything went where it was supposed to go, and I can’t believe they will have all the bugs worked out that soon. Last year was the first year for me where I allowed the program to figure depreciation. It took almost 17 years, but I finally decided the program does a good job with depreciation, so I no longer use my Excel depreciation schedules I created way back in the 80s.

Some habits are hard to get rid of.

[Bees Knees]

I just tried something...When I open an email, I have the option to print the email. One of the print options says to print it to an Adobe PDF file. When I choose that, it converts the email to a PDF file which I can then save into the client supporting documents folder I have set up for each client.

I'm going to start doing that so I don't have to depend on my email service to save the emails.

[Gretel]

Thank you so much Bees. These a great tips and I agree with you, that no DMS is needed.
I played with my e-mail as well and have the option to save as .tif so that's great too. I am in the process of setting up a website with my e-mail but don't know how that will all play out.

Like you I don't trust anything easily. On top of this I don't let go until things make sense to me. Sometimes I drive myself crazy but why would I want to accept anything less?