Put newest bills in the front on the file. Only keep bills longer than a year if they are needed for tax records or are in dispute. Add new ones as soon as they come in. When you add one, toss one. Use the brown paper bag to toss the coupons, articles, etc.
Magazines can go in the larger boxes, a year or two in one box, depending on size.
Old jumbo cereal boxes can be cut down to make magazine holders. Donate old magazines to nursing homes, library sales, clinics, etc. Elementary school kids often need them to cut-up for art or other projects. Hope this helps. The best organization method I have for bills is using Quicken.