Will I need receipts?

[southernbelle]

We are very good about saving receipts for husbands construction business, but not personal.

Southernbelle, we to are waiting to file because of 4K federal return (should arrive next week). If you don't mind my asking, how did you spend your money. We haven't soooo good with money. think I forgot how to spend it. LOL

I owed my lawyer and paid up my mortgage, utilities and bought gas with the rest. Basically, atty fees and bills. Don't buy anything friviolous because you might end up paying that money back to the Trustee.

[Cali]

I didn't save any receipts. And no one asked for them at my 341.

[PoorGrammyinBK7]

What if we don't have Receipts?

Well, now we have one more thing to worry about. My husband got a gift of money last Christmas from a relative and now atty says we may have to account for how we spent it!

We can account for about 65% of it, but the rest, we just cashed out and used to live and for eating out (a lot), movies, entertainment, etc, etc. Atty said "hmmmnn - cash - no receipts - not good".

Creditors were being paid, well over minimum. Husband should have been able to use it as he wanted, shouldn't he? Is there a law that says you can't use cash anymore in America or that you must keep receipts on everything you spend? Yikes!!

We used to keep receipts on everything, but we don't itemize deductions any more (too few deductions), so we have not kept receipts for the last couple of years - except for the larger purchases, etc.

We disclosed the gift on the schedule as "other income" - even though we were told by the atty that most people do not even disclose such gifts. But we felt we should, especially since it shows on bank record, etc. But what happens if we can't account for every penny? Is this going to be a huge problem?

[Chased]

I have noticed that people here have saved receipts. Is this something I need? Normally, I tend to toss them.

You will need little or nothing in the way of backup paper work except, tax returns and pay stubs.

[soleprop]

I owed my lawyer and paid up my mortgage, utilities and bought gas with the rest. Basically, atty fees and bills. Don't buy anything friviolous because you might end up paying that money back to the Trustee.

but belle, it doesn't sound like you spent yours on anything frivolous and yet you had to pay yours to the trustee - can you help us understand why your trustee thought that was fair? thanks!