It's not tax time yet. Or is it?

"You need to keep track of financial records every day to be ready for tax time," says Esther Maddux. A financial management specialist with the University of Georgia Extension Service, Maddux knows the value of good record keeping.

"Organized records can mean the difference in financial gain or loss," she says. "Your personal finances are like a minibusiness. They deserve to be operated efficiently."

The tax collector isn't the only reason you need to keep good records. They can help you prove losses after fires or theft. They save you time and money in processing insurance claims or proving transactions or ownership. They give you a summary of your financial situation to help in financial planning, estate plans, net worth statements, investments and retirement plans.

"In a divorce, financial records can establish separate and joint property," Maddux says. "They can prove ownership in a lawsuit or a fight over inheritance of property. They can also give your family easy access to information to settle your estate."

What to keep: You must keep records so you can prepare a complete and accurate income tax return. The law doesn't require any special form of records. But keep all receipts, canceled checks or other proof of payment, Maddux says, and documentation to support any deductions or credits you claim.

How long? "Keep your records as long as they are important for the federal law," Maddux says. "Keep records that support an item of income or a deduction. The period of limitations varies, so check with a tax expert on length of time."

Where to keep records: "You can save yourself time and money if you gather your important records, track down the ones you're missing, throw away those you don't need and file what's left in its proper place," Maddux says. "You don't have to do the job in a day or a week. Tackle it a chunk at a time."

Keep certain records that are hard or impossible to replace in a safe deposit box or a fireproof box at home. That includes items like your car title, birth certificate, marriage certificate and will.

Current financial records can go in a metal file cabinet, accordion file or cardboard box. At the end of your record-keeping year, throw away items you don't need and move important papers to a permanent file.

"A good time to clean your files is when you prepare your income tax return," Maddux says. "Keep items such as tax returns and bank statements."

You'll want certain records with you at all times. That includes credit cards, driver's license, your insurance card and emergency information.

Want to know more about record keeping? See a tax consultant, the Internal Revenue Service or your county Extension Service agent.