Declutter your finances: How to build a “Life File”

Published on 17th July, 2025 at 10:52 am

Your life in a file makes all the difference and is one of the smartest and most empowering life admin tools that you can create that unlocks financial confidence and peace of mind. Think of it as a one-stop, fits-all place (either physical or digital, but ideally both) where you store all of your most important documents so you and your beneficiaries are ready and prepared for anything.

Reading time: 6 minutes

In this article, you’ll learn:

• The definition of a ‘life file’.
• Why it’s important to have one.
• What goes into a life file, and how to create one.
• Useful resources to help you along.

What is a life file, and why is it important to have one?

Your life file is a central place, either physical, digital, but ideally both, where you keep all your essential personal, financial, and legal documents. The idea is that it brings everything together so it’s easy to access when you need it most.

This could be for something exciting like applying for a home loan or launching a business, or for life’s emergencies, like accidents, or even death. It makes life significantly easier for you, or for the people you leave behind. Passing away without the right documentation in place can be extremely distressing and taxing on those you leave behind, as reported by News24.

What exactly goes into a life file?

Think of all the most important documents in your life. Generally, it would include:

• Identity and personal information (birth certificates, copies of your ID, marriage certificates, tax numbers, medical aid numbers, and so forth – giving you confidence to apply for things like a visa, social benefits, or jobs)
• Will and estate planning (your original will, contact details for legal representation or power of attorney, or details about funeral plans or death cover, you would also include emergency contact details, or family information, lack of these documents could cause unnecessary delays and fees for your loved ones if you were to pass away)
• Finances, property and assets (including bank account details, list of different accounts, investments and retirement funds, tax returns, SARS correspondence, copies of payslips, pensions fund details, title deeds, lease agreements, utility information, vehicle registrations)
• Insurance and policies (including life insurance, short-term insurance, disability or dread disease cover, and even pet insurance)
• Professional career (employment contracts, or company registration information if you’re a business owner)

How to create a life file

Physical? Digital? Both? We’d argue both. For instance, certain documents legally need to exist as hard copies, like birth certificates and wills, while others are very convenient in digital format, like proof of banking details, or contracts; but ideally you should have physical and digital copies of everything for ease of reference at all times.

Start by grouping important documents into categories:

1. Personal info
2. Finances and insurance
3. Property
4. Digital access
5. Estate planning

Use a folder for the physical version, stored somewhere safe and waterproof. Then scan your documents to PDF and upload them to encrypted cloud storage, something trusted and simple to use like Google Drive or Dropbox.

Importantly, make sure that a trusted person has the logins, like your lawyer or next of kin. Next, set up yearly calendar reminders for you to update your files, adding documents like SARS correspondence. It’s admin, but the type that unlocks peace of mind.

Important to remember: When it comes to storing your physical and digital files, a trusted spouse or lawyer must have access. Create one document with instructions on where the physical file is stored and how it can be accessed. This should also be mentioned in your will.

Resources for setting up your life file
You likely already have almost everything you need, so now it’s time to get organised and ready to start putting together your life file. But here are a few pointers to help you along the way.

• Add a layer of security to important accounts in your life file by using a password manager for your financial and social accounts; trusted password managers, including Bitwarden and 1Password, are great choices.
• If you haven’t drafted important documentation like a will, you can use online tools from trusted authorised financial institutions, like the wills service offered by Sanlam. This service, for instance, Sanlam Trust acts as executor or co-executor and also stores your will in a secure vault for a small fee.
• If you don’t have the facilities at home, gather all the hard copies of your files and use a safe and trusted printing facility like PostNet to scan all your documents to PDF, which will then be emailed to you at a small fee.
• Google Drive is secure and offers 15GB of free storage. This means you can save many documents and even images. There are paid-for plans that allow more storage, where you could, for instance, upload video messages.
• Dropbox is a trusted cloud storage and offers 2GB of free storage, so you can save all scans of documents easily. For more storage, you could opt for one of the paid-for plans.

Sanlam has partnered with Sanlam Trust, part of the Capital Legacy Group and a Sanlam associate, to offer you expert services and help you plan for the financial well-being of your loved ones, while you still can. This includes advice on wills, trusts, estates, and related services. Copyright © 2025 | All rights reserved. Sanlam Life Insurance Limited is a Licensed Financial Services Provider and a Registered Credit Provider.