In the face of natural disasters, such as the wildfires ravaging southern California, it's crucial to have a financial emergency kit ready. This article explores expert advice on what to include in your financial go bag, ensuring you're prepared for unexpected evacuations. Financial advisors emphasize the importance of gathering key documents and information that can help you manage your finances during and after a crisis. From identification papers to account details, having everything organized and accessible can save time and reduce stress in critical situations.
Organizing Your Critical Documents
One of the most important aspects of preparing a financial go bag is organizing essential personal and financial documents. Advisors recommend including original copies of vital identification papers like social security cards, birth certificates, and passports. Additionally, it's wise to have photocopies of items typically kept in your wallet, such as driver’s licenses, along with proof of residence like utility bills. These documents are crucial for re-establishing your identity and accessing services if you need to prove residency upon returning to an affected area.
To ensure comprehensive coverage, include copies of all estate planning documents, such as trusts, wills, and medical directives. Also, compile a single document listing all important roles and responsibilities of people in your life, including executors, brokers, bankers, and those named in medical directives. Having these documents readily available can streamline processes and provide peace of mind during chaotic times. Regularly updating this list ensures that it remains current and useful when needed most.
Securing Access to Accounts and Cash
Financial advisors stress the importance of having immediate access to your accounts and cash in emergencies. Create a consolidated list of all account numbers for banks, insurance companies, brokerages, mortgage lenders, and landlords. Include online passwords and customer service contact numbers. In a crisis, you may not have access to digital devices or stored information, so having a physical copy is essential. Documenting home contents and their values regularly can also aid in insurance claims, but if not up-to-date, taking photos serves as a quick alternative.
Storing several hundred dollars to $1,000 in cash is advisable, as ATMs might be inaccessible if power is out. Including a checkbook can also be beneficial. Ensure you have extra keys for vehicles, homes, and any other properties you own. Packing a padlock can secure temporary storage spaces. Place all items in waterproof bags and store them in a fireproof and waterproof location, such as a safe or fire-resistant file cabinet, ensuring easy access when needed. Taking these precautions upfront can significantly ease the aftermath of a disaster.