I have an expanding file dealy for papers, and I have subcategorized items fastened together with paper clips. For example, I have a file pocket for "medical stuff", but my clinic receipts, pharmacy receipts, hospital receipts, and insurance applications are separated by paper clip from each other in that file pocket. The vast majority of my documents are all in one place, but there are no piles and there's a minimal chance that I'll find a stray paper somewhere in the house and not know where it can go in that expanding file.
I have a smaller expanding file for non-medical receipts, too, but that one is only categorized by date.
I would tell her to take a look at all the systems suggested and just pick the one whose approach she likes best, because they all come down to the same basic philosophy - clean a little bit at a time instead of all at once, and get rid of a lot of stuff (also a little bit at a time instead of all at once). Practically every single system I've seen for cleaning/decluttering comes down to these two basic ideas, so it's really about picking the one whose "personality" you identify with.
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I have a smaller expanding file for non-medical receipts, too, but that one is only categorized by date.
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