One best action step you can take to build wealth is to keep good records. I just experienced a small earthquake near my home and it made me think about if I was prepared for a disaster. Of course, I have all of my insurance in place- health, property,life and disability. But there are many important papers that should be secured off site or on a disc that I can grab and go. Instead I have a pile of papers in a file cabinet. I started a list of important documents that I will scan or make copies and put in my safe deposit box in another city. I will update these records once a year. That is a small step I can take and part of a good financial plan to build wealth. I will gather these records:

Copies of the purchase and sale of any home or property and receipts for improvements

Copies of the first two pages of the individual and business tax returns

Copies of the car titles, registration, driver’s license and insurance information

Copies of marriage certificates and birth certificates, social security cards, green cards, and passports

Copies of all insurance policies (medical, life, home, auto, health)

List of important phone numbers

Digital copies of important family photos

List of important prescription medications

Photograph of inside and outside of the home

List of important family members phone numbers and emergency phone numbers

List of investments,credit card numbers, bank account numbers, etc.

Preparation can help ease the anguish caused by disaster. It can also hasten the task of recovery. The is an important step to build wealth and maintain it. Don’t think it is unnecessary or it won’t happen to you. Statistics will prove you wrong. Build wealth with your own personal evacuation box.

The post Build Wealth with Your Personal Evacuation Box first appeared on Whole Hearted Way.

The first three steps in this do-it-yourself financial plan are building a firm financial foundation. When we have insurance to offset our risk, we won’t be tempted to dip into our long term investment plans and screw that up.  There are lots of posts and resources here to help guide you to the right insurance at the right price with the right vendors.

Feel free to share your resources, too.

The post Do-It-Yourself Financial Plan Step #2 Risk Management first appeared on Whole Hearted Way.

1. Get serious about an Emergency Kit for you  home and office
2. Your business will not survive without a Contingency Plan
3. A Financial Plan is the essential last step

Emergency Kit

• House or office may be dangerous or impossible to enter
• It is likely there will be NO outside help for 3 to 7 days
• Three to seven days of supplies are essential
  • Water, food (no cooking)
  • Clothes, shoes, rain protection, sleeping gear
  • Medicines, radios, flashlights, batteries, some cash, etc.
  • Special needs for babies, elder people, pets
  • Have a family contact plan and practice/ update it every quarter

Contingency Plan

• Up to 80% of small businesses disappear in a major crisis if there’s no plan
• Backup or copies of data, project details, equipment and supply inventories
• Contact information for employees, vendors, clients, etc.
• Consider needs to shelter in place, transportation back to homes, families’ safety
• Create a team with assigned responsibilities to handle basic business, employee and customer needs, access to all information/ equipment/ supplies/ cash/ etc.
• Specific plans will depend on your business type and needs
  • Can all employees work from home?
  • Will you need an alternate, temporary site?
    • Find a realtor who can help list available sites;
    • Consider a competitor’s premises in another area

Financial Plan

• Your business and your family will need money or access to funds to weather the recovery period
  • LOC
  • HELOC
  • Stash of cash – small bills and accessible
  • Consider insurance coverage options
    • EQ on your home
      • Check with broker or agent: CEA, Geo-Vera
      • Coverage is expensive and limited and deductibles are high
      • Building, minimal contents and additional living expense
  • Business EQ coverage
    • Full coverage can be expensive and deductibles are high
    • EQSL might be a minimal alternative
    • Prevention steps as an alternative to insurance
      • Prevent collapse – various retrofit projects
      • Prevent fire from inside; prepare for fire from outside
      • Consider parking a car outside the garage for easy access

-Charles Wilson, Risk Smart Solutions

The post Disaster Planning for Home & Business first appeared on Whole Hearted Way.