Lessons of 2020
~ Nothing is guaranteed ~
“The more you know about the past, the better prepared you are for the future.”
-Theodore Roosevelt
On average, recessions happen every 6-8 years.
Be proactive and not reactive!
They do not teach this in schools. This is 100% on you to learn.
More millionaires are made during market crashes than at any other time.
*Secure your finances before trying to capitalize on market crashes as market gains will not help much if you are paying more in interest on your debts.
Tips on Preparing for a Recession or Market Crash
Build a budget so you stop bleeding money. Cut back on all the unnecessary spending.
Create a solid emergency fund, somewhere between 3-12 months’ worth of expenses. This will be your shield. The goal of this money is not to make you rich or fight inflation, but to protect you if an emergency arises. This should be done at all times, but if you feel a recession is coming, this is more important than ever to review what you have and evaluate if it will still be sufficient for your needs.
Pay down and avoid debts. Especially any high-interest rate loans, variable interest rate loans, and ARM (adjustable rate mortgages). This should be done at all times, but anytime you are thinking about taking on new debt with a pending recession coming, you should ensure you have ample savings and the ability to repay the debt and/or a contingency plan if you lose your job. Remember not to finance things that will not pay you. If it doesn’t put money in your pocket, then DO NOT go into debt to purchase it.
Save cash (or as some call it, “dry powder”) on the side to scoop up assets that might go for cheap during these economic downturns. Not everyone will plan for the future, and some might lose houses, businesses, and/or other assets due to not being prepared. Prepare and plan now! During economic downtimes, many large corporations will try to scoop in and gobble up these assets. It could be much better for our communities if average citizens buy these assets instead of these large corporations that have zero ties to our communities.
Educate yourself on different assets during good times to capitalize on opportunities during recession times. Money CAN be made during recessions for the ones who are prepared and educated. Find out who/what benefits from recessions and/or inflation. Food, oil, gas, rent prices…? Invest in assets that produce value during these times.
Gold, silver, and other precious metals are not necessarily assets used to get rich, but they may be a great way to store some value during recessionary times.
Resist the desire to cash out investments to sit out a recession, especially if you are young. This time could be a huge buying opportunity. “Be fearful when others are greedy and be greedy when others are fearful.” Warren Buffett
Do not lend money! Per Dave Ramsey, this is the fastest way to ruin a relationship. Only lend what you can afford to lose. Is this amount worth losing your friendship over? He suggests, if someone asks to borrow $100, instead you can say, “I cannot lend you $100, but I could give you $10 or $20 (or whatever amount works for you), and you don’t have to pay me back.”
Tips To Becoming Self-Sufficient
These can help you crush it so market crashes will not crush you.
Secure Multiple Streams of Income
One, if you fear economic uncertainty is coming up, then ensure you have made yourself indispensable to your employer. This could help you retain your job if hard times were to come. Then, focus on what you can do to increase your streams of income.
Multiple streams of income can help ensure you still have a source of income should something happen to certain industries in our economy for one reason or another.
Just like the adage: don’t put all your eggs in one basket, by diversifying your income streams, you can insure not losing all your nest egg if something happens as you will no longer be solely reliant on only one source of income. It might be good to aim to have different streams of income, maybe even from different sectors/industries, as a good hedge against any disasters that might happen.
(e.g., 2020 pandemic & shutdowns, 2021 supply chain issues, and 2022 wars have all been a good example of this.)
A few ideas to get you started on thinking of different income streams could include a full or part-time job, investing, real estate/rental properties, creating a business or starting a side gig, writing a book, creating a course, and/or selling items online.
Have an Emergency Fund (Super Important)
This time period has been one cluster of disasters. It went from “two weeks to flatten the curve” to an almost global economic meltdown in two short (but felt like very long) years. We suffered shortages of consumer goods, job losses, ransomware attacks that shut down gas stations and credit card systems, and one even shut down a large human resource software system that inhibited people from getting paychecks on time. We’ve also had supply chain breakdowns causing more shortages, major inflation, and war. This could be a very serious problem financially for anyone that lives paycheck to paycheck.
It is imperative to make sure to have your cash emergency fund on hand, and your 3-6 months (or 18-36 months if nearing retirement) emergency fund in a savings or checking account that you can easily access in an emergency. This can help ensure you can still buy groceries and pay bills if something happens.
Diversify your banks into small credit unions, bigger banks, and online banks. Some banks could suffer problems during recessionary times making it harder to access your money. Having multiple banks (and multiple types of banks) can help minimize the problems you could run into if your bank suffered any problems.
In 2022, one bank had electrical problems causing their computer system to reset which hindered access to accounts. In February 2023, Citizens Bank had problems with their system duplicating transactions which caused several individuals to overdraft and not have access to their money.
Be sure to log into your bank accounts frequently to ensure your balances are correct.
Also, be sure you have a cushion in your accounts especially if using debit cards. With the rise in gas prices, gas stations have increased the dollar amount of the holds on their transactions. This means when you swipe/use your debit card an automatic hold of a certain dollar amount gets placed on your account until the actual total clears your account. These holds can take up to a week to fall off and have affected some individuals’ ability to purchase other necessities like groceries as their cards show insufficient funds even though money to cover the purchase is in the accounts. Some of these holds have been $175 per transaction. Ensure you are leaving yourself a cushion in these accounts to account for these potential holds.
Tip: Keep a little cash in your vehicle (hidden well, of course) so you can buy gas if the credit card payment systems are down.
*Reminder – Most say it’s not a good idea to keep your emergency funds in any investments or cryptocurrencies as those could either be down in value when you might need the money hurting you more in the long run, or it could take you longer to get the money out due to banking/government regulations leaving you without money when you need it. Do your own research to find where you are comfortable keeping this money.
Diversify, Diversify, Diversify!
No one knows the future, and though there’s nothing wrong with studying charts and history to try to understand where something might be going, no one knows exactly what will happen and when. Your best bet is to make sure your money is well diversified.
Diversify your money into cash, savings, stocks/ETFs/Index Funds in all different categories, precious metals, and cryptos. You might also be able to hedge a little into inverse EFTs (How to Prepare for the Next Great Depression/The Great Reset). Inverse ETFs are riskier than traditional ETFs, but they are less risky than other bearish bets. Be sure to do your research on anything you buy.
Diversify your banks into small credit unions, bigger banks, and online banks. Some banks could suffer problems during recessionary times making it harder to access your money. Having multiple banks (and multiple types of banks) can help minimize the problems you could run into if your bank suffered any problems.
During 2022, one bank had electrical problems causing their computer system to reset which hindered access to accounts, and in 2023, another large bank had problems with their deposit system causing individuals to not have access to their money and in some cases led accounts to overdraft due to this deposit problem.
Be sure to log into your bank accounts frequently to ensure your balances are correct.
Diversify your preps by having a stock-up of all different shelf-stable items of food, hygiene products, cleaning products, etc.
Buy Assets!
With all the inflation, we have learned how important having assets is. During inflationary times, the value of the dollar/government currency will be devalued, however, valuable assets during these times often gain, or at least hold, their value helping your net worth, and some can even be a stream of income. Some suggest looking into land, oil, energy, gold and silver (God’s money), and/or good cryptocurrencies. Do your research to decide if any of these interest you, and if you feel they will be an asset to your portfolio.
Be sure you have an emergency fund, sufficient stock of food, water, and medications, and all debts paid off (at least high-interest debts) before looking to purchase assets. Once you have these, then you can start buying dips in assets such as land, energy, precious metals, and even good cryptocurrencies.
If you are looking to purchase other assets at the same time you are trying to build your pantries/stock-ups, then it’s suggested to spend no more than 1/3 of your funds on assets and use the other 2/3’s of your funds on stock-ups. This still ensures you are prioritizing your pantries.
Only buy fixed-rate debt (never variable or adjustable), and only buy investments you plan to hold for at least 5-7 years.
On average, recessions happen every 6-8 years. Educate yourself on different assets during good times to capitalize on opportunities during recession times. Money CAN be made during recessions for the ones who are prepared and educated. Find out who/what benefits from recessions and/or inflation. Food, oil, gas, rent prices…? Save cash (or as some call it, “dry powder”) on the side to scoop up some assets that might go for cheap during these economic downturns and that will produce value during these times. Not everyone will plan for the future, and some might lose houses, businesses, and/or other assets due to not being prepared. Prepare and plan now! During economic downtimes, many large corporations will try to capitalize on others’ misfortunes. It could be much better for our communities if average citizens buy these assets instead of these large corporations as they can be better used to help our communities and not just be seen as profits.
Stock Up!
“Just in time” has been the attitude a lot of consumers have lived by for quite some time. This means you only replace something when you are running low or are out. Looking back to all the things that have happened during this time, it might be a good idea for your family to have at least a small stock up on hand of the items you frequently use, not only because of the lockdowns or supply chain issues but also if you lose your job or cannot get your paycheck on time. Think of this as your third step to your emergency fund.
Step 1 – $1,000-$2,000 in cash, or cash to cover deductibles, or one month’s worth of expenses in cash (discussed in the Make a Plan section)
Step 2 – 3-6 months (or 18-36 months) fully-funded emergency fund (discussed in the Make a Plan & Savings section)
Step 3 – Emergency food/supply prep
Examples to consider for your emergency stock-ups or preps would be any food items you regularly use with a somewhat stable shelf life, toothpaste, deodorants, shampoos, any medications you might use, and/or cleaning products, etc.
Check out my Store for a few stock-up lists to get you started. These can be edited to fit your family’s needs as well.
You never know what life will throw at you. If an emergency happens (another pandemic with lockdowns, supply chain breakdowns/shortages, you lose your job or can’t get paid due to hacks or other ransomware attacks, or even if you or someone in your family gets sick and you cannot get to the store), having at least a small stock up of the things you regularly use can help give you the time to process and plan during stressful times and hopefully carry you in those times of need.
Aim to start small with having at least two weeks to one month’s supply, and then slowly work up to what you feel comfortable with.
3 Foods Suggested to Focus on First when Stocking Up: by Goshen Prepping
Rice - Rice is cheap and easy to store.
Beans - Most beans give you all the essential amino acids required for a healthy diet except one, however, rice includes this missing essential amino acid (methionine). This is what makes a meal of rice and beans work so well together. The downfall of rice and beans is that they do take a lot of heat/energy to prepare.
Can goods - Can goods are cheaper, ready to eat, and can be stored almost indefinitely as long as they are stored properly and the integrity of the can is still good. This means there are no dents or rust and it looks to be well sealed. (Tip: Be careful with the cans with the easy pull tabs. These may not store as well for long periods as the seal can become compromised more easily. Be careful to not stack these cans, and be sure to check on your cans frequently to ensure they are still well-sealed and not bulging. If there is any question, please discard the can. It is not worth your family potentially getting sick with food that has gone bad. Also, acidic can goods do not store as well for long periods of time. For more information about this, check out USDA – How long can you keep canned goods?)
A few easy strategies to use to build your stock:
Buy one (for now) Get one (for later):
This means every time you need something, you buy the one to use now, and then buy one or two extras to save for later. Then when you are out of one again, go and buy one or two extra, and save the extras. Eventually, you will have several items saved up and set aside.
Half and Half:
This is when you are halfway out of something, you go ahead and buy another to have on hand, and then when you are totally out, you buy another and repeat. This is a little slower and sometimes easier way to build up inventory in your stock-ups.
The 5 Can Plan:
This is when you buy 5 extra cans or other shelf-stable items every time you go shopping. This can be done with any number that works better for you, but it is an easy way to work on stocking up. (per Appalachia’s Homestead with Patara)
Streamline your recipes and add ones into your rotation that will have mostly shelf-stable ingredients:
This can help ensure your stock-ups will get rotated limiting anything expiring on your shelves, and it can help ensure you will know how to use the ingredients if the time comes that you needed to. Be sure to have your recipes printed or written down, and stored in an easy-to-access location.
Check out this Pantry Meal Kit video to learn how pantry meal kits can help save you time and money.
Check out this page, Pantry Meal Kits, for shelf-stable recipes along with printable recipe cards you can use when putting your kits together.
3 Levels of Food Storage:
A well-stocked pantry is like a safety net—providing financial stability and peace of mind during emergencies. However, it can feel overwhelming when trying to get started. That’s where dividing your pantry stock-ups into sections can come in handy, and help you optimize your stock-up investments and create a pantry that’s practical and resilient.
1. Working Pantry
This pantry is one almost everyone will have. It is typically housed in your kitchen as this is the food you use every day or plan to use soon.
Most have anywhere from a few days to 1 or more months’ worth of food stored in this pantry.
2. Extended Pantry
Acts as a Personal Warehouse
This pantry houses a stock of the common, every day, shelf-stable items you typically use.
This can be anywhere from 2 weeks to 12 months’ worth of shelf-stable foods you can shop from to restock your working pantry before heading to the store.
Money-Saving Tool
Some items rotate when they go on sale. Stock up when your essentials are on sale, so you can, hopefully, wait for another sale to restock maximizing your savings.
Be an Extension to Your Emergency Fund
An extended pantry can serve as a buffer against unexpected expenses. Similar to an emergency fund, a well-stocked pantry lets you rely on stored food during tight financial situations, freeing up cash for urgent needs.
Step 1: have a cash emergency fund
Step 2: have a fully funded emergency reserve of at least 3 to 6 months
Step 3: have a stocked pantry of 2 weeks to 12 months’ worth of food and supplies
3. Long-Term Pantry
This is anything you will store long-term (longer than one or two years). Be sure to research how to store these items properly.
Suggestions:
Be sure you’re investing before focusing on long-term storage as your investments are what will help you reach financial independence.
Focus on having a 9-month to 1 year’s worth of water, food, medications, and supplies before looking into freeze-dried foods.
Links for long-term storage ideas and information:
USDA – How long can you keep canned goods?
FoodKeeper App - Food and Beverage storage information for the best freshness and quality
US Emergency Supply – Storage Life Of Dry Foods
Creative Storage Solutions:
Finding space for your stock-ups is sometimes a challenge. They say older homes often had larger pantries and smaller closets, but modern homes typically have smaller pantries and larger closets. Be sure to prioritize what is important. This calls for creativity. Consider using the tops of closets or totes under beds for storage. Some even raise beds a little to create more space for their stock-ups.
*Remember to avoid excessive heat and moisture, as these can affect the longevity of your items, and ensure your storage is kid, pet, and pest-proof.
**Reminders for Stocking Up**
IMPORTANT: While preparing and stocking up can help you avoid setbacks from unforeseen circumstances, DO NOT get hung up on stocking up as your investments are what will propel you to financial independence.
If a stocked pantry is important to you, start with a small stock of 2 weeks to 1 month’s worth, then get your investments going, and come back and expand your stocks later.
Check the expiration date and package integrity of the items you buy, especially on the ones you plan to store. You will want to make sure the items will last the length of time you need them to. It is never fun when something expires on your shelves wasting your hard-earned money.
Rotate your stocks just as a store would by placing newly bought items toward the back and bring forward items that will expire the soonest.
Write the expiration date or purchase date in Sharpie on the front or top of your items.
This can help save you time as you will easily be able to see the items you should use first.
Check out the videos below for more ideas:
Here are a few other links that might be helpful.
Stocking Up / Preparing Lists (Blog post about why, when, and how we use our stock-up lists.)
Pantry Meal Kits (Blog post about the benefits of pantry/shelf-stable meal kits.)
Pantry/Shelf-Stable Meal Kit Recipes
5 Can Plan (Easy stock-up methods.)
Preparing versus Hoarding:
Hoarding is an excessive and often compulsive collection of items, usually with the inability to discard items. Hoarders will often buy or acquire things not necessarily associated with any practical, rational, or logical reason. They will also often grab as much as they can of a particular supply DURING a period of shortage when others are in need as well. Hoarders will usually spend all of their money on hoarding items leaving no money in savings, which can be to their own detriment, especially during an economic crisis.
Preparing on the other hand is the acquisition of extra consumables and/or supplies that have a practical purpose and are stored for rotation and/or for future use. This can be considered like an insurance policy or emergency fund to help you get by during a disruptive period in life (anything from getting sick to losing jobs to an economic crisis). It can also be seen as a way to save money as you can buy extras of an item on sale saving you money in the future. Preparing is when you make a list of the items you regularly use noting how often you replace these items, and then you work slowly on acquiring the set amount you need to get you by for a period of time, rotating your stock as needed. Preparing is also usually done when there is NO shortage. It is done at a time when there are more sufficient resources to replenish what was removed, and it allows for the different items purchased/acquired to be staggered as not everyone will be acquiring or focusing on the same things at the same time. Hoarding, on the other hand, does not allow this to happen.
Prepare. Do Not Hoard.
Health is Real Wealth
Your health is one of the largest assets you have. If you do not take care of yourself now, you could be out a lot of time and money later. This could also make it more difficult for you if a crisis happened as you might not be able to get the medications you need when you need them. Focus on your health. Prepare now to get and stay healthy, so your health will not be a burden to you later.
Fruits/Vegetables and Intermittent Fasting
Budgeting and meal planning are more important than ever during times like this, and finding meals that focus more on fruits and vegetables as your main dish could potentially help save you money as they might be cheaper, you might be able to grow some of them right at home, and you could stock up on these items easier than a lot of the proteins. You can then add your proteins as a side dish to your meals.
A few other meal-planning ideas to help save money:
Focus on stir fry recipes, casseroles, soups, and kabobs as they are all a great way to help stretch proteins. Adding your proteins on top of salads can help stretch your proteins as well.
Quinoa, lentils, and beans can be a great addition or substitute for proteins in meals as well.
Intermittent Fasting is a concept several people have said they have used or are doing for either health reasons and/or to try to save money on their food budgets.
I am not a nutritionist, nor have I heard this suggested by a nutritionist, so make sure you do what is best for your health, however, if this is something you can do, you might be able to save a little on your food budget.
*Remember your health is one of your largest assets, so do your research and speak with your physician about what could be right for you if you are interested in intermittent fasting to ensure you are not jeopardizing your health and costing you more time and money in the long run.
Prepare Your Paperwork
Make sure you have your net worth statement with all your assets and accounts including instructions on how to access these accounts in a safe spot that a loved one can easily access should they need them. Also, include other important paperwork such as birth certificates, passports, titles, and maybe even some pictures.
A safe is a great place for this information, but even though a safe might claim to be fireproof, the temperatures inside a safe during a fire could get hot enough to make paper documents unreadable. It might be a good idea to place important paperwork in a fire-resistant case/bag inside a bigger fireproof safe for extra protection.
Review Insurance Policies, Wills, and POAs Periodically
We have had inflation hit almost everything we buy. This has made the cost to build or repair anything a lot more expensive. Review your home and auto insurance policies at least every few years to ensure you will still give adequate coverage if needed. If you do not, you might not be able to rebuild or replace your home or vehicle if something unforeseen happens.
Life can change very rapidly, so be sure to review your will and any power-of-attornies as you want to ensure you are not leaving anything up for grabs for the state.
Learn a Skill
Find and learn a skill that others might need (auto machines, welding, plumbing, electrical engineering, cooking, canning, sewing, gardening, etc.). This might be one of your most valuable assets. They say those who have a good skill will be fed. If needed, you can use your skills in exchange for food and/or other needed items.
Build Your Library
Build your library with physical copies of useful “How-To” books. This can include cooking, canning, gardening, farming, foraging, medicine/herbs, household and auto repairs, and any other topics you think could be useful if you are unable to get that information elsewhere.
In my opinion, make sure the Bible is on top of this list of physical copies to have on hand as you never know when you or someone else might need it.
Work on Self-Sufficiency
Things can change very fast, and everything from thunderstorms to ice storms to you name it, could shut down some of the creature comforts that we are used to. The Texas ice storm of 2021 was a good example of this as it led to shortages of water, electricity, and/or food for millions of people. Consider alternative methods for lighting, heating, cooking, growing your own food, and either having, finding, and/or purifying water. Solar-powered gadgets could be good investments as well. Do your research, learn, and prepare now to find ways to help you be more self-sufficient should you need to be in the future.
It might also be a good idea to think about any repair supplies you might need to help you be self-sufficient along with various tools and weapons that could be used for repairing, hunting, and/or protection. Learn how to use these tools & practice safety at all times.
“Bug out Bag”
This is sometimes also called a “go bag”, “bailout bag”, “survival bag”, or “72-hour bag”. This is a bag a person keeps ready just in case they need to evacuate in a hurry. This can be for any reason such as a natural disaster, fire, civil unrest, or any other type of emergency. (The 2023 train derailment in East Palestine, Ohio is a good example of how a bug-out bag could help.) By keeping essentials in a ready-to-go bag, you will not be left scrambling and potentially forgetting necessary items should the time come when you need them.
A backpack is usually used for this, but any type of bag will work. Most people just focus on what you might need for 72 hours. This might help give you the time you need to evacuate and regroup without the stress of immediately finding food and supplies. It might also help you not be an immediate burden on someone else if your plan is to evacuate to another house. It could give you time to get there, and maybe figure out how you can help in exchange for their hospitality.
When planning your “bug out bag,” it’s a good idea to look at things with at least a year shelf life. This way you do not have to change items out of your bag constantly. You can just update it once a year replacing items that are about to expire.
Some items to consider when planning your bag :
food for three days for each person - This should be non-perishable foods that will store well, and don’t forget any needed paper cups, plates, utensils, napkins, and a can opener.
water, water filters, and/or purification tabs - It’s suggested to have at least one gallon of water per person per day for at least three days for drinking and sanitation. Be sure to include cups or containers if using filters or purification tabs. (Bleach can be used to treat water. Per the American Red Cross, add 16 drops of regular household liquid bleach per gallon of water. Do not use scented, color-safe, or bleach with added cleaners. Note: Bleach only has a shelf life of approximately six months, but proper storage can help it last a full year before its effectiveness begins to drop by 20 percent yearly.)
disinfected wipes or household chlorine bleach and a medicine dropper - (Bleach can be used as a disinfectant when diluted to nine parts water to one part bleach.)
matches in a waterproof container
flashlights and extra batteries
battery-powered or hand crank radio
first aid kit with a dust mask and a whistle to signal for help
moist towelettes, hand sanitizer, and garbage bags
any medications (prescription and non-prescription) that might be needed
sunglasses and any prescription glasses
change of clothes including a long-sleeved shirt, long pants, and sturdy shoes with plenty of socks
rain ponchos, jackets, hats, and gloves
feminine supplies and personal hygiene items
paper and a pen, pencil, and/or a permanent marker
important documents such as copies of insurance policies, identification, and bank account records in a portable waterproof container along with local maps
cash including change
sleeping bag or warm blanket
infant formula and diapers
pet food/supplies (check below for more ideas on emergency preparation for your pets)
books, games, puzzles, or other activities for children
keep a wrench or pliers handy to turn off utilities at your home should you need to leave
This is not an all-inclusive list but it is intended to get you going and thinking of what you might need.
Click the link below for a video by Kristen from Six Sisters’ Stuff explaining why she created bug-out bags for her family, and what they include in theirs.
Emergency Preparedness for Your Pets
Our pets are important members of our household, so it makes sense to prepare an emergency plan for them as well.
Here are some things to think about for our pets:
Food - Keep at least three days of food in an airtight, waterproof container. Dry food can go stale and make your animals sick, so be sure to rotate this just like any other food.
Water - Store at least three days of water specifically for your pets in addition to what you and your family might need.
First aid kit - Some common items can include cotton bandages rolls, bandage tape and scissors, antibiotic ointment, flea and tick prevention, latex gloves, isopropyl alcohol, and saline solution. Include names and contact information of veterinarians and veterinary hospitals close and in nearby towns. (Keep one copy with your emergency kit, and one copy with you.)
Collar with ID tag, harness, and leash - Your pet should wear a collar with its rabies tag and identification at all times, but you should include a backup collar and ID tag along with a harness and leash. Along with your pet’s ID, be sure to include your pet’s registration information, adoption papers, vaccination documents, and medical records in a clean plastic bag or waterproof container.
Crate or other pet carrier - If you needed to evacuate in an emergency, be sure you can easily take your pet with you provided that it’s practical to do so. In many cases, your ability to do so will be aided by having a sturdy, safe, comfortable crate or carrier ready for transporting.
Sanitation - Include pet litter, a litter box (if appropriate), newspapers, paper towels, plastic trash bags, and household chlorine bleach to provide for your pet’s sanitation needs.
Include a picture of you and your pet together - This can help if you become separated from your pet for some reason.
Familiar items - Including familiar toys, treats, or bedding can help reduce stress for your pets.
Plan a Security Protocol
This is not a fun one to talk about, but it could save you a lot of headaches and heartache later. Discuss and plan with your loved ones what to do or what your plan is in the case of an emergency. This can include deciding a meeting place for you and your family if you were split during an emergency or crisis. Would your loved ones know where to find you, or would you know where to find them if something happened and you were unable to reach them by phone?
You may also want to designate an out-of-town friend or relative to be a contact for everyone in the event of an emergency. An out-of-town contact may not be impacted by the disaster or emergency you are facing in your local area, so this may be a better way to keep communication. Since cell signals may be spotty during a disaster, instead of wasting your precious signal time trying to contact others who may also be affected and have spotty service, you can contact your out-of-town contact, and let them know your condition, location, and plan. Then when others have a signal, they can contact this same out-of-town contact to understand your location and plan to be better able to get everyone connected again.
Along this same line of security protocols, it may also be a good idea to have a family code word your loved ones could use in texts or phone calls that can either mean pick them up right away or call the police. This can be good for teenagers or older children. Having a family code word can also help younger children know if a person is safe to go with or not (say if someone tried to pick them up from school that was not authorized. If that person doesn’t know the family code word, the child will know they are not safe to go with.) Plan now so you and your family are prepared.