A data retention policy template makes this complex question easier—how do you organize the data you store without violating privacy or regulatory rules?
Thanks to templates, you can consistently and automatically enforce the same policies across the organization. They even let you customize to different data types and scale when necessary.
Given that enterprise data generation is growing by over 40% every year, you need to define what to retain, and where to let go. As we’ll explain in this guide to data retention policy templates, the right strategy can save you thousands of dollars in storage costs and reduce legal risks.
Defining Data Retention
In simple terms, data retention is the act of storing data you aren’t actively using. Your bank may retain our mortgage details for a few years, even after you’ve paid it off. Software platforms like Google Analytics will retain user data for anywhere between 30 days and 48 months.
Data retention refers to a structured practice that ensures that a specific data type is held for a specific period in compliance with regulatory laws, business needs, and the demands of user privacy.
Benefits of data retention
The goal of data retention is two-fold. First, you should be able to access old data for analysis or audits, if needed. Second, you shouldn’t be holding onto hundreds of terabytes of old information, which can consume costly storage. Maintaining this balance is the sole purpose of data retention.
Therefore, companies enforce data retention policies to:
- Save on storage costs
- Comply with HIPAA, GDPR, PCI DSS, and other regulations with data retention clauses
- Respect the wishes of the original data subject (e.g., customers) when they want their data removed
- Easily locate data during audits
- Use old data for future business analysis
- Be prepared for data breaches and other security risks
All of these benefits are crucial for businesses, which makes a data retention policy template all the more important.
What is a Data Retention Policy Template?
A template of any kind simplifies repetitive processes by making the information easily accessible in a single, centralized space. In the case of data retention, it acts as a framework to ensure your retention policy is comprehensive and doesn't miss out on any key details.
A data retention policy template refers to a document (with placeholders) that determines how a company will store data and the conditions for destruction.
The template will typically have two parts:
- Repeated information: This section of the content stays the same across all retention policies the company will implement, such as a statement of compliance with GDPR.
- Placeholders: Information in these fields will change with each new policy, such as the department name and the name of the data owner.
Apart from this, large companies with complex data retention needs may also add an appendix to define key terms and terminology used in the policy. The ultimate goal is to reduce confusion around retaining data and minimize queries from data subjects and users.
Why do you need a data retention policy template?
A data retention policy template serves three purposes:
1. Consistency
All your retention policies across the organization will be consistent. While exact fields like duration, storage location, and data owner may change, you’ll find the same details in every policy. This reduces confusion and makes it easier to answer queries from customers, internal users, and regulatory authorities.
2. Effort reduction
A template saves you the effort of typing out the same thing over and over again. For instance, you might want to cite a specific law to justify the retention policy. Every document might include a statement like “an approving official must authorize destruction.”
Thanks to a data retention policy template, you don’t need to type it every time or fish out the original source to copy-paste it into a new policy.
3. Quality control
Do you need to destroy one year from retention expiration? Is a vendor helping you with data retention, and do you need to keep employees informed of this third party?
It’s easy to overlook these minute details if you’re creating a data retention policy manually, from scratch. In contrast, a template will enforce an error-free and repeatable process that ensures every detail is in place, every single time.
7 Key Fields to Include in a Data Retention Policy Template
Policies governing data retention can vary hugely from one industry to another. For example, here is a document defining how an educational institution can store and manage admin data.
Now, compare it to another document, this time from the recruitment agency Wallace Myers, which covers payroll data retention.
As you can see, the document can vary widely across organizations, depending on the industry and applicable regulations. That said, there are seven basic elements you need to include in any data retention policy template, above and beyond all customizations:
1. Data type
Which specific type of data does this policy apply to? For example, you could store website visitor data, Google Drive data, or something else.
2. Retention duration
How long will the data be held? For example, the General Data Protection Regulation (GDPR) states that data must be stored for the “shortest time possible” to fulfill its intended purpose.
3. Duration justification
What are you holding the data for this long? Providing a justification in the policy template—either by citing a law or stating a business need—can reduce your liability risk in future.
4. Data subject
Who does the data relate to? It could be a file owner if you’re talking about Google Drive data retention or an e-commerce shopper if you’re storing customer data. The subject will determine the privacy rights you have to consider.
5. Data owner
Who is in charge of the retention policy? Any queries about retention or the failure to retain or destroy data will be directed to this official.
6. Additional conditions
Will the retention policy change under certain conditions? For example, when an employee exits the company, how you manage and store their data will also change.
7. Data destruction
When will the data be destroyed? You could delete the data immediately after the policy expires or make room for a cool-off period. You should also specify how you destroy the data, removing all duplicates, but without impacting any of the systems that depend on it.
Here is a Ready-to-Use Data Retention Policy Template
So what does a data retention policy template actually look like? Here’s a standard version of this, that largely checks all the boxes (of course you’ll have to customize it for your individual requirements):
| Data Retention Policy for [Company Name] last updated in [Year] | |
|---|---|
| Overview | [Company Name] seeks to ensure that it retains only data necessary to effectively conduct its program activities and work in fulfillment of its mission. This policy applies to all data collected by [Company Name] and stored on [Company Name] owned or leased systems and media, regardless of location. It is applicable to both data collected and held electronically and data that is collected and held as hard copy or paper files. The need to retain certain information may be mandated by federal or local law, federal regulations, or other legitimate business purposes, as well as the General Data Protection Regulation (GDPR). |
| Retention Justification |  #Providing an ongoing service to the data subject (e.g. sending a newsletter)#Participation in [Company Name]’s programs, like employee payroll#Programmatic reporting by [Company Name] to its funding organizations#Compliance with applicable labor, tax, immigration laws, and/or OTHER (state below):________________________________________________________#Security protocols or any other investigation#Intellectual property preservation#In support of ongoing litigation |
| Data Type | Retention Duration |
| Website visitor data | To be retained as long as necessary to provide the service requested/initiated via the [Company Name] website. |
| Contributor data | To be retained for the year in which the individual has contributed and then for [Duration] after the date of the last contribution. |
| Event participant data | To be retained for the timeline of the event, including any follow up activities, like distribution of reports, plus a period of [Duration]. |
| Personal data subcontractors and vendors | To be kept for the duration of the contract or agreement. |
| Employee data | To be held for the duration of employment and then [Duration] after the last day of employment. |
| Recruitment data | To be held for [Duration] after the closure of the recruitment process. |
| Data Destruction | Data destruction ensures that [Company Name] manages the data it controls and processes it in an efficient and responsible manner. When the retention period for the data as outlined above expires, [Company Name] will actively destroy the data covered by this policy. Any exceptions to this data retention policy must be approved by [Company Name]’s data protection offer in consultation with legal counsel. In rare circumstances, a litigation hold may be issued by legal counsel prohibiting the destruction of certain documents. A litigation hold will stay in effect until released by legal counsel and prohibits the destruction of data subject to the hold. |
Example of a Data Retention Policy Template Used by a US Government
By now, you already have a good idea of what a data retention policy template is, and how to create one for your organization. For more inspiration, take a look at this excellent example from the State of Virginia’s Office of Data Governance and Analytics.
It’s a comprehensive 5-pager that includes an appendix of all the key terms a document like this will typically include. It also has examples of conditions when the policy might change. It also details data destruction procedures, such as the need to document the process.
Implementing a Data Retention Policy in Google Vault
Once you have a data retention data retention policy in place, you can easily implement it in your data storage, backup, and eDiscovery software.
Google Vault is one of the most popular platforms for this purpose, especially if your organization uses Google Workspace. It creates an audit-ready imprint of Google data, and you can govern how long it is stored through retention policies.
Choose the data type, which means a specific Google service whose data you want to retain. Select the scope of application—the entire organization or specific teams. Then, select your retention duration, which can be indefinite or a specific number of days since the file was created, accessed, or modified.
Thanks to your data retention policy templates, all of this information will be ready at hand. However, remember that Google Vault is an eDiscovery solution meant to assist in audits and other legal and compliance processes.
Data retention becomes all the more important when you’re dealing with file backup—i.e., the information you’re likely to need in the case of cyber attacks, outages, and accidents.
Google Vault Limitations and the Need for Better Backup
The whole point of data retention is to make data accessible when you need it. This isn’t possible without investing in a reliable backup. While many Workspace users fall back on Vault, bear in mind that Google Vault isn’t designed as a backup tool, since it doesn’t support high volumes, point-in-time restores, or parallel tasks.
When you think about data retention and shoring up your organization’s retention policies, consider a good backup software with built-in retention rules. A platform like Backup Space can help simplify data storage and management and enforce consistent retention rules across your organization.
In Conclusion: How Backup Space Can Simplify Data Retention
A data retention policy template will make the life of any IT admin or data manager easier. It makes processes repeatable and reusable, saving you cost and effort. However, it’s just one piece of the puzzle.
You also need software tools like Backup Space that can accommodate custom retention rules and apply them automatically throughout all the data your organization is creating, with regular synchronization.
Together, a comprehensive retention policy and backup system can make your data processes simpler, while staying compliant with all applicable laws.
Sign up for Backup Space to see efficient data retention in action.
