Many people in Bucks County, the Delaware Valley and greater Philadelphia have a “go bag” of essential items in case of an emergency. It typically includes food, water, clothing, medical supplies, and phone chargers. It might also include a thumb drive full of family pictures and videos.
What about a financial go bag or a financial emergency kit? If your home were damaged or destroyed by a natural disaster, would you have easy access to all the information you need to help you recover from such a loss?
Between 1980 and 2024, there were 114 confirmed weather disaster events in Pennsylvania with losses exceeding $1 billion, according to the National Centers for Environmental Information. This includes 64 severe storms, 16 tropical cyclones, 20 winter storms, and five floods. That’s why disaster preparedness is so important, and emergency financial planning can make it much easier for you and your family to survive a disaster and get back on your feet again.
What Is a Financial Go Bag?
A financial go bag contains all your important financial documents, either physically or digitally (or both, just to be sure). Of course, you could also save them in cloud storage, but that would involve making sure your information is protected from cyberattacks and data thieves. You could also lose access to them if the Internet was down for a while.
That’s why many cybersecurity and data experts recommend having your information stored in three different ways on at least two different types of storage devices, such as any combination of a computer, an external hard drive, a USB thumb drive, your phone, a DVD, or in the cloud. Consider using a password and/or data encryption on your storage devices, just in case they get lost or stolen. Also, make sure your family knows how to access your storage methods in case something happens to you.
One of your storage methods should be off-site, just in case. This could be in the cloud, your workplace, or a close friend or family member. Any physical storage should be as secure as possible. You might use a thumb drive or an external hard drive that’s weather- and shock-resistant, with an external case to protect it. Another option would be to keep them in waterproof bags, wrapped in something soft (such as your emergency supply of clothes). Here are some things to consider when preparing your financial go bag.
1. Emergency Savings
Financial experts recommend having three to six months’ worth of your household expenses set aside as an emergency fund. Most people keep their emergency funds in a savings account so they can earn interest. Of course, there’s always a rush for cash when a disaster approaches banks and ATMs could be offline for a while.
That’s why your financial go bag should include enough cash to cover your family’s living expenses for about a week; and remember that gas and food prices could surge faster than an approaching storm. Our emergency cash should include plenty of smaller denominations, as people could struggle to make change if all you have are $50 or $100 bills.
2. Copies of Important Documents
This could include your driver’s license, passport, and birth certificate, copies of your tax returns from previous years and recent pay stubs from your employer, which could come in handy if you need proof of employment and income to apply for aid or emergency loans. The deed to your home and vehicle titles would also be important in case of a loss. If you have a will, living will, power of attorney documents, or trust documents, these should also be included, as well as the name of your executor.
You should also have group or individual pictures of your family, just in case you wind up searching for someone and need to provide a clear picture of them. If you have any children, make sure you have copies of their birth certificates and any school ID cards they have.
3. Bank Account and Loan Information
Have the account numbers and at least one statement for all your bank accounts and loans, credit cards, and any investments or brokerage accounts you have, along with contact information. Setting up mobile banking on your phone could also help in a crisis, once cell phone service is restored.
4. Insurance Policy Details
This may include home, auto, health, life, disability and long-term care insurance, plus any other coverages you may have, such as flood insurance and earthquake insurance. You’ll need your policy numbers and other details such as your deductibles, the contact information for the insurance company (or your insurance agent) and how to file a claim.
5. Passwords and Digital Access
Many people use password managers these days for the convenience and security they offer. A password manager can create complicated passwords and store them in a vault. This way, you would only have to memorize one password that you make up yourself (it should be one that’s both complicated and easy for you to remember). You simply log on to your password manager and, with a browser extension activated, it logs you on to all your other accounts.
Some people use passkeys, which are becoming increasingly popular these days. Many people consider them to be more secure than passwords, as they can’t be guessed or stolen. A passkey is a way to log onto an account without a password by creating a digital link between the account and one of your devices, such as a phone, a computer, or a password manager. Of course, you’ll also need to have some kind of authentication method each time you want to use a passkey. With a password manager, this would be your universal password. You could also use biometrics such as your face or fingerprint.
However you access your accounts, your financial go bag should include a backup way to do so in case you need someone to act on your behalf. If you’re incapacitated or pass away, setting up emergency access ahead of time would make it much easier for your survivors to access your accounts and handle your affairs. Most password managers have a way for you to set up emergency access, which is typically found in your settings, tools, or profile folders. Obviously, your emergency password recipient should be someone you can trust.
6. Emergency Contacts
Many of us rely on our phones to store our contact information, rather than memorizing someone’s phone number. Have a backup copy of all your emergency contacts, in both digital and physical form. You might email a list of them to yourself and keep a paper copy in something waterproof within your go bag. Your emergency contact list should include your family, friends, neighbors, and your employer, plus any legal or financial people in your life such as your insurance agent, accountant, tax preparer, and attorney.
7. Backup Payment Options
In addition to an emergency supply of cash, you may need other payment methods to get you through a crisis. Make sure you and your family have all your credit cards and debit cards ready to go. Even if you usually only take one type of card with you when you leave the house, or if you use a digital wallet, you’ll be better off if you have your physical cards with you, so you could have more than one payment option in an emergency. It’s also useful to have a person-to-person payment method, such as Zelle®, so you can send and receive money with friends and family members.
Where to Keep Your Financial Go Bag
Your go bag should be kept in a secure location that you could access quickly in an emergency, but also not so obvious as to tempt a would-be thief or burglar. If you’re at risk of a flood or stormwater damage, it should also be kept high enough that it’s less likely to get wet or carried off in a flood. A closet near your front or back door could be a good option. Some people keep their go bag in a vehicle or have more than one bag just in case.
Something easy to carry, such as a backpack, would be an asset, especially if it’s waterproof or water-resistant. Make sure your family knows where you keep your go bag and remind them of your emergency plans now and then. Everyone in your home should understand your evacuation plan such as what to grab, where to meet, and how you’ll communicate with each other.
Get Financially Prepared With The First
If you have any questions about accessing your accounts in an emergency, please contact us or visit one of our 11 bank locations in Bucks County: Newtown, Newtown-Yardley, Warminster, Richboro, Jamison, Langhorne, Doylestown, Fairless Hills, Wrightstown, Washington Crossing, and Solebury.
