Good riddance Chantal! Thankfully, South Florida and the US dodged the brunt of this storm. Selfishly, I was thrilled we didn’t have to put up storm shutters or pick up our lawn furniture, but you know there’s so much more to think about when it comes to natural disasters, especially if you’re a business owner.
Natural disasters are always a threat; right now, we are in the midst of hurricane season and there are wildfires and mudslides out west. So now is a great time to think about safeguarding your tax and financial documents. Here are some ideas to keep your records safe:
BACKUP YOUR RECORDS – Make sure you save an extra set of electronic records in a different location then your originals. You can backup on a cloud service like Carbonite or save onto a hard drive, then keep that hard drive in a safety deposit box or in another safe spot. Consider backing up records like tax returns, insurance policies, credit card and bank statements.
HAVE AN EMERGENCY PLAN IN PLACE – What will you do if a disaster happens at your workplace? Do you have a way to track employees? Do you know how you will evacuate your employees from the building? If you cannot answer yes to these questions, then update your emergency plan now. Make sure it includes your personal emergency plan as well.
TAKE INVENTORY – If a disaster strikes your business and you plan to claim insurance, you will have to have proof of lost items. So now is the time to take pictures or videotape valuables inside your business. While you’re at it, do the same for your home. Remember to keep these pictures or videotape in a safe, waterproof and fireproof place. The IRS offers Publication 584, a Casualty, Disaster and Theft Loss Workbook that can help you calculate your loss. You can find that workbook at www.irs.gov and click on Disaster Relief or call 800-TAX-FORM or 800-829-3676.
Hopefully, like Chantal, we can keep dodging storms and potential disasters. But just in case, take time to prepare now.
Have a great week!
