3. If I keep my receipts in my bookkeeping software, why do I still need to keep them somewhere else?

Dec 8

Written By Author | Aneisha - Writer and Bookkeeper

The real question

The goal of keeping receipts is making sure your system lets you:

find the receipt quickly,
read it clearly, and
prove what the expense was for.

And this aligns with the IRS requirement that businesses keep “supporting documents” — receipts, paid bills, invoices, deposit slips, canceled checks — in a form that supports the amounts reported on your tax return (Publication 583, pp. 11–12).

So the question isn’t, “Do I need one or two places?” It’s “Does my current system let me reliably produce this receipt when someone needs to see it?”

Why bookkeeping software might not be enough

Bookkeeping software can store receipts, but storing a receipt and being able to use it later are two different things.

You want a system that:

Keeps the receipt readable
Lets you find it quickly
Shows what the transaction was for

If your software makes that easy, then you don’t need anything else.

If it doesn’t, that’s when a secondary storage method becomes helpful.

What this looks like

1. Retrieval matters as much as storage

In tools like QuickBooks, it can take time to locate and open an attachment.

If someone needs documents for tax prep or to verify an expense, a separate folder system (like Google Drive or Hubdoc) can be easier because you can search by vendor, amount, date, or keywords.

The right system is the one where you can easily find the document.

2. The IRS only cares about clarity, not the container

IRS Publication 583 says businesses must keep “supporting documents” that clearly prove income and expenses.

It does not tell you where those documents must live.

It only requires that the documents:

support the transaction
be available for review
be kept in an organized, usable form

This means: If your receipts are searchable and clear, your system is working. If they’re lost, faded, or hard to pull up, it’s not.

The Takeaway

You don’t have to keep receipts in multiple places. You just need one system that makes receipts:

findable
readable
connected to the right transaction

That’s the entire goal.

If your bookkeeping software does that, perfect.

If it doesn’t, pairing it with a simple, searchable folder system can make your bookkeeping, and tax time, much easier.

Author | Aneisha - Writer and Bookkeeper

Aneisha Velazquez is a bookkeeper and clarity guide who helps neurodivergent-led businesses turn their numbers from a source of stress into a source of self-trust.

She’s the founder of Yellow Sky Business Services and writes the newsletter The Peaceful Pocket, where she explores making business more neurodivergent-friendly, money tips with context, and stories and behind-the-scenes as an AuDHD founder.