The importance of setting realistic financial goals
March 03, 2021
There are three types of financial goals one can set for the future. These are short term, medium term and long-term financial goals. Each of these goals requires careful financial planning and investing in tools that will help one achieve these goals. However, ensure your goals are realistic such that they are attainable. This way you do not set yourself up for failure.
1. By definition, realistic goals are attainable
By keeping your goal realistic, such that you are able to set aside the funds each month to save or invest in a tool of your choice, you ensure you can actually attain this goal in the timeframe you have set for yourself. A financial goal that is truly realistic in nature is easily attainable. When you invest in a Fixed or recurring deposit, for example, you are given the opportunity to use an online calculator to check how much you will earn in a certain amount of time from your goal. For instance, with the ICICI Bank iWish Recurring Deposit, you can choose to use the iWish calculator available here and learn the amount and duration you need to keep your deposit active for you to attain the finances you need.
2. They can aid you during a financial emergency
With a financial goal that is realistic in nature, you have a corpus that can aid you during an emergency. Financial crises can hit us from nowhere and if we are unprepared for them, we set ourselves up for suffering. Hence, having a realistic financial goal that one can reach helps to create that emergency corpus that can work to save us during such crises. For instance, with the iWish flexible RD by ICICI Bank, you can set up to ten different financial goals including one being an emergency corpus right at the beginning. This way you are creating a dedicated savings corpus that can aid you during any potential hardship.
3. They take your dreams into account
Everyone has long term goals, or at least desires to achieve some long-term goals. When you set a realistic financial goal for yourself, even your long-term vision is taken into consideration. Do you see yourself as a savvy business person in ten years’ time with your own start-up? Or maybe you see yourself as a successful day trader. Either way, the decisions you take today should reflect the person you want to be tomorrow and in ten years’ time. With the ICICI Bank iWish RD, you can remain invested for up to 10 years. Hence, iWish flexible RD keeps your dreams at the forefront so you can navigate your journey accordingly.
4. They can serve as your retirement income
Finally, a realistic financial goal can help you when you no longer have a steady stream of income. Many people start saving for retirement too late in the game and realise that they just haven't saved up enough. This becomes a financial strain on their shoulders at a time in their life when they should be laid back and reflect on their life. A realistic financial goal also considers aspects like retirement.
You want to amass such a corpus that cannot only feed you, but also feed the mouths of those who are dependent upon you in the future. Whether or not your financial goals consider retirement, they always can work to fund it. A realistic financial goal that is geared towards retirement, for example, should take into account the cost of inflation on the prices of goods. This way one is guaranteed to be comfortably financially covered after they wish to retire.
One way to set realistic financial goals is through the ICICI Bank iWish Recurring Deposit. iWish flexible RD has key benefits like no penalty for delayed or missed payments. Additionally, one's funds can be partially withdrawn by closing their RD prematurely. The fundamental difference between ICICI Bank iWish Deposit and other RDs is that you can alter your deposits each month. Hence, you have the option to achieve your financial goals earlier than planned. You earn attractive interest rates on your iWish Deposit and can stay invested for up to 10 years. This makes iWish one of the best ways to achieve your financial goals.
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