From natural disasters like hurricanes and floods to public health and ecological crises, there are many circumstances for which you should be financially prepared.
The key to financial emergency preparedness is proper planning. You need to take stock of your income streams — such as an annuity, 401(k) or IRA plan, a salary or other source — budget appropriately and prepare for the unexpected.
Financial emergencies can happen to anyone, and without a plan, you may find it difficult to bounce back from damages. In turn, this could put your credit score at risk and even cause you to file for bankruptcy.
We hope disaster never strikes — but in today’s climate we also know nothing is guaranteed. So why not do a little legwork upfront to ensure you’re financially healthy no matter what? Here, we cover what to do with your finances before, during and after a disaster to ensure you’re protected.
Before a Disaster: How to Prepare
Multiple recent studies have shown that Americans are woefully underprepared for disasters and the sudden expenses that often come with them:
- Approximately 40 percent of Americans have no plan for handling an emergency.
- Only 16 percent of Americans have an emergency preparedness kit.
- About 55 percent of Americans worry about an unplanned financial emergency.
- Four in 10 Americans would be unable to cover an unexpected $400 expense.
- Six in 10 Americans would be unable to cover an unexpected $1,000 expense.
If you’re among the more than 50% of Americans worried about financial disaster preparedness, click on the image below to read the whole article and learn what you can do for your finances. Thank you to Annuity.org for sharing this valuable information.