President & CEO of Jax Federal Credit Union
Special to the Recorder
Hurricane season is officially underway, and we’re all beginning to make sure we have everything prepared in the event of a disaster. While you’re making your hurricane preparedness checklists, don’t forget about your personal finances. Planning early and properly will help you avoid last-minute scrambling and a financial disaster.
Here are a few tips for getting your personal finances storm-ready:
Plan a budget. Anticipate out-of-pocket disaster expenses for lodging, food, gas and more, as well as emergency supplies and repairs. It’s never too early or late to start saving. Enroll in an automatic savings account at your financial institution and begin setting aside a small amount each paycheck to allocate toward expenses.
Don’t forget to keep cash on hand as you may not have access to ATMs or your debit/credit cards during power outages.
This is a sample evacuation budget I recommend for a family of four:
● Gas = $40 (15 gallons at $2.67)
● Snacks and drinks = $40 ($10 per person)
● Fast food = $28
● Hotel = $120 (Average hotel in Macon, Georgia = $120 per night)
● Dinner = $60 (including tip)
● Free breakfast at hotel = $0
● Repeat the lunch and dinner meals for day two = $28 + $60 = $88
● Keep the kids entertained and visit a local park = $0
● Second night at the hotel = $120
● Gas to get home = $40
● Total = $536 and does not include entertainment
Secure important documents. We’re all guilty of having important papers stored away in a file cabinet or folder in our homes, but flooding is a major threat associated with hurricanes. Transition important documents such as birth certificates, passports, wills, bank statements, mortgages, titles and insurance policies onto a USB drive for your evacuation kit. Other documents can be safely stored in a safety deposit box at your financial institution.
Review insurance. Make sure you are adequately covered and understand the exclusions and deductibles of your policy. Deductibles on home damage or flooding can cause a major dent in savings, so be prepared. If you don’t currently have flood insurance but live in a flood-prone area, speak to your insurance advisor about the benefits.
Take inventory of your belongings in case you have to file an insurance claim. You can do this by taking a quick video of each room in your home on your smartphone to capture what your home looks like prior to a storm.
Consider a personal loan or line of credit. If your savings aren’t quite where you’d like them to be, consider applying for a personal loan or line of credit. These funds can be used for any expenses, such as buying supplies, travel expenses, insurance deductibles or repairs. The application usually takes 30 minutes online.
My last and most important tip is to be safe. Protecting your finances is a vital part of preparing for hurricane season, but your family’s safety should be your top priority.
Joe Nowland is the president and CEO of Jax Federal Credit Union, which serves more than 30,000 members in Duval, Clay, Nassau, Baker and St. Johns counties. For more information, including branch locations, visit jaxfcu.org.
