Natural disasters, such as hurricanes, earthquakes, or fires, can happen anytime, so preparing before disaster strikes is essential. Here are a few tips to help you prepare in case anything happens:
- Update Your Family’s Emergency Plans: Your emergency plans can include knowing where to go, where you keep all necessary documents and possessions, and what you need to be prepared for. Check up on the emergency plans for your home or business frequently because things can change.
- Create Digital Copies Of Important Documents: Most financial organizations, such as banks and insurance companies, provide digital copies of bank statements, tax returns, and insurance policies anyway, and keeping all these digital copies saved and organized is an excellent practice to get into. If you only have paper copies of important documents, scan them and save them securely to access them in an emergency.
- Document Valuables: Documenting valuables makes it easier to claim insurance and tax benefits after a natural disaster. A disaster loss workbook will help you compile a list of belongings and photographs that can make this process even more accessible for both the IRS and your insurance provider.
These tips may help you have everything you need ready in the case of a natural disaster or other emergency.
*This tax tip is for informational purposes only and is not a replacement for real-life advice. Consult your tax, legal, and accounting professionals for more specific information.
Tip adapted from IRS.gov6
Footnotes and Sources
- IRS.gov, March 8, 2023
