Safeguarding your Personally Identifiable Information (PII) has never been more crucial.
This is why the IRS, Federal Trade Commission (FTC), and other federal agencies are placing an increased emphasis on PII protection.
In this article we’ll explain what that means for you, as well as steps you can take to keep your personal data secure from potential threats.
What Does Protecting PII Include?
Personally Identifiable Information encompasses any data that can be used to identify or trace an individual.
This includes basic details like your name, address, phone number, and Social Security number. It also extends to more sensitive information such as your financial data, credit card details, email addresses, account numbers, user IDs, and passwords.
The Growing Focus On PII Security
Federal agencies are putting a focus toward making sure entities handling PII are taking the necessary steps to protect it.
Businesses and individuals who store or process PII are now required to implement a Written Information Security Plan (WISP) to demonstrate their commitment to safeguarding this data.
This plan outlines the procedures and policies in place to prevent unauthorized access, data breaches, and other security incidents.
Even though federal agencies are ramping up their efforts to ensure this information is protected, it’s still vital for individuals and businesses alike to recognize the importance of taking their own steps to secure their PII.
What You Need To Know About PII Protection
Your Tax Information Is A High-Value Target
Your tax records are a goldmine of PII, making them prime targets for identity thieves. These documents contain a wealth of personal data, from Social Security numbers to financial details.
It’s essential to be cautious about how you store and share this information. When dealing with vendors or service providers, make sure your Social Security number and other sensitive information are not unnecessarily exposed on forms like W-2s and 1099s.
Know Who Has Access to Your PII
One of the most important steps in protecting your PII is knowing who has access to it. Whether it’s your bank, tax professional, or any service provider that stores your credit card details, it’s crucial to be selective about who holds your information.
Close any unused accounts and request that these entities delete your records once they’re no longer needed. By limiting access to your PII, you reduce the chances of it falling into the wrong hands.
Stay Vigilant And Monitor For Breaches
Even with stringent federal requirements mandating the reporting of security breaches, there’s no guarantee that you’ll be notified promptly if your data is compromised. This means it’s up to you to remain vigilant.
Take advantage of free annual credit reports from the major credit bureaus to monitor your financial accounts for any suspicious activity. Regularly reviewing your accounts and staying alert to potential threats can help you catch issues before they escalate.
Practical Tips For PII Protection
Secure Your Digital Accounts
One of the easiest ways to protect your PII is by securing your digital accounts. Use strong, unique passwords for each of your accounts and enable two-factor authentication for an added layer of security.
Even if your password is compromised, this will help keep unauthorized users from accessing your accounts without the second authentication factor.
Be Cautious With Sharing Information
Think twice before sharing your PII, whether online or offline. Be mindful of who you’re giving your information to and why it’s necessary. When possible, opt out of storing your payment information on websites, and be wary of unsolicited requests for personal data.
Use Encryption And Secure Networks
When handling PII, it’s best if any digital data is encrypted to protect it from unauthorized access. Avoid using public Wi-Fi networks when accessing sensitive information, as these are often unsecured and vulnerable to cyberattacks. Instead, use a Virtual Private Network (VPN) to encrypt your connection and keep your data safe.
Protect Your Sensitive Data With Professional Guidance
If you’re a client of ours at Minton CPA & Associates, we take protecting your personal and financial information seriously.
While no system is entirely immune to threats, it’s our obligation to have a plan in place to protect your personally identifiable information. Not only do we adhere to all federal guidelines and best practices, but we’re committed to helping you protect your financial future.
If you have any concerns or need assistance with safeguarding your personal or business information, don’t hesitate to contact us at 757-546-2870.