How to Back Up Microsoft Money

Backup Options for Microsoft Money

Microsoft Money 2006 and later handles back ups differently than earlier versions. Backing up later Microsoft Money versions is discussed in Backing Up Microsoft Money - Money 2006 and Later.

Explanation: Microsoft Money Automatic Backups

Microsoft Money versions 2005 and earlier automatically create a backup file each time the program is exited. While this automatic backup sounds reassuring, it is far from ideal in the event of a hard drive failure or data corruption. Should the Microsoft Money user need to roll their data back a day or so, they may not be able to since each automatic backup in Microsoft Money overwrites the previous backup.

Better Backup Options for Microsoft Money

For true security for your financial data, you need to backup your Microsoft Money data file to a floppy disk, CD or DVD. Alternate backups between at least three CD's other media. CD-RW's are a great media to use because they are very affordable and can be used over and over unlike regular CD's, which can be written to only once. When a CD-RW is full, it will have several old backup files on it and it can be erased or reformatted to be used again. A CD-RW may stop working after a period of time due to corruption, but it can then be discarded and replaced with a new one.

You can handle Microsoft Money backups two ways:

1. In the Microsoft Money options menu, change the drive your automatic backups go to when you close Microsoft Money. You will need to remember to swap out the CD or other media often so you avoid overwriting the backup file, though.

2. Do manual backups in Microsoft Money to a CD or other media at regular intervals in addition to allowing Microsoft Money to do automatic backups. This will require finding a reliable way to remind yourself to do the backups weekly, or more often if you are a daily Microsoft Money user.

The first method depends on the user remembering to change the CD or other media often enough, while the second depends on the user remembering to do regular backups. Take a look at the link for each method and decide for what works for you.