How to Plan your Investment to Achieve Periodic Financial Goals?

Buy a Life Insurance Plan in a few clicks

Now you can buy life insurance plan online.

Kotak e-Term Plan

Protect Your family’s financial future with Kotak e-Term Plan. Know more

Kotak Assured Savings Plan

A plan that offer guaranteed returns and financial protection for your family. Know more

Kotak Guaranteed Savings Plan

A plan that offers long term savings and insurance in one premium. Know more

Kotak e-Invest

Insurance and investment in one plan with Kotak e-Invest. Know more

Kotak Health Shield

Insurance against medical expenses related to heart, brain, liver and Cancer. Know more

How to Plan your Investment to Achieve Periodic Financial Goals?

How to Plan your Investment to Achieve Periodic Financial Goals?
  • 4th Jul 2022 |
  • 3,742

Keywords: financial goals are, major goals of financial management, how to set financial goals and achieve them, developing personal financial goals

Financial goals are targets you set to save, invest and spend your money over a certain period of time. They can be short-term like purchasing a gadget, mid-term such as paying off a debt, or long-term goals like planning for your children’s education. When you have a clear vision of your dreams, it is easier to achieve them by planning. Here, you will understand how to set financial goals and achieve them.

Why are financial goals important?

  • When you define your goals, it is easier to plan for them. Developing personal financial goals can keep your expenses and savings aligned.
  • Financial goals are also helpful in tracking your progress. You can keep a record of your expenses and cut off unnecessary consumption. This also makes you disciplined towards money.
  • Financial planning aids you during a financial emergency. The pandemic has demonstrated the importance of financial literacy. It is vital to plan for emergency situations so that you are able to protect your loved ones in such difficult situations.
  • Worrying about taxes at the last moment is not a prudent idea. So, if you begin to plan your finances on an annual basis, you will be able to assess your taxes at the beginning of the financial year.
  • If you keep spending without a plan, inflation might affect you in the future, disabling you from meeting your needs. You can beat inflation and achieve your financial goals by planning your investments well in advance.

How to plan your investment?

Some of the major goals of financial management include wealth maximization, maintenance of liquidity, and estimation of your financial requirements. Now that you have understood the importance of setting your financial goals, it is essential to plan for them. Investment planning not only helps you to save money but also in generating income and growing the invested amount. Here are a few necessary steps to plan your investment:

Evaluate your current financial situation

The first step of investment planning is to assess your present finances, including your income, expenses, debt, emergency funds, etc. Creating a budget can help you determine how much you can afford to invest. If you have just started to earn, you can choose an investment tool that requires less money.

Define your financial goals

The next important step is to identify your financial goals. If you are planning to save for a vacation or starting an emergency fund, these kinds of goals are termed short-term goals. These are immediate expenses as they usually require a few months or years. On the other hand, long-term goals may take several years or even decades to be accomplished. Examples of long-term goals include starting a business, saving for children’s marriage, retirement fund, etc. Long-term goals generally require more money and attention. Another kind of financial goal is the mid-term goal. Mid-term goals require an intermediate time period. These goals include paying off debt, buying a vehicle, etc.

Prioritize your goals

Now that you have defined your financial goals, set them according to your priorities. You can start to invest according to your needs and current level of wealth.

Analyze your risk-taking ability

Determining your risk-taking appetite is a necessary step in investment planning. Young people who have just started to earn usually have lower expenses and, therefore, can take the risk. In addition, it is easier to take the risk since you have plenty of time to recover from losses. Older people usually prefer less risky and more secure investments. Riskier investments can provide higher returns but also involve significant risks; so take your time to decide.

Explore all the investment options

Once you are ready to invest, learn about all the investment options. Consider the factors such as income, budget, goals, risk tolerance, and time horizon to choose the right type of investment for you. You can invest in stocks, bonds, mutual funds and so on along with FDs and RDs too. These are a few options that most people prefer as they have the potential to balance losses.

You can also go for new-age plans like ULIP, Guaranteed Savings Plan, which are more of a long-term investment options but provide you insurance and investment opportunities together. After all, we all have a family to take care of and we don’t want to see them under stress of liabilities, if something was to happen to us.


Setting financial goals and planning to invest in them is vital to fulfilling your dreams and preparing for emergencies. You can increase your savings and enjoy a better standard of living with proper financial planning. Analyze the factors listed above and start planning your investment today!

Kotak e-Invest

In this policy, the investment risk in the investment portfolio is borne by the policyholder.

Download Brochure


  • Return of Mortality Charges*$
  • Enhanced Protection
  • Multiple Plan Options
  • Zero Premium Allocation Charges
  • Tax Savings^

Ref. No. KLI/22-23/E-BB/521


Browse our library of resources

- A Consumer Education Initiative series by Kotak Life

Similar Articles

What are Some of the Safest Investment Options in India?

Planning for Your Child's Higher Education? Explore These Investment Options

4 Benefits of ULIP Fund-Switching Feature

Which is a Better Investment - Mutual Funds Or ULIP?

What are the Best Investment Options for Young Adults?

Why is Portfolio Diversification Important? How to Diversify Your Portfolio?

What are the Best Investment Options For Females?

Best Investment Options to Cover Your Child's Education

What are the Best Investment Options for Students in India?

How to Make Your Financial Portfolio?

How is the Compound Annual Growth Rate (CAGR) Calculated in ULIP?

How To Track ULIP Performance?

Learn About Safe Investments with High Returns in India

How to Cancel ULIP Policy?

Early Investing and the Power of Compounding

How to Increase Net Worth Along with Family Protection

How To Invest Money In ULIP?

Complete Savings Plan for Low Income Earners

Why Should You Invest in Term Insurance And ULIP?

Important Questions You Must Ask Yourself When Buying a ULIP Plan

Difference Between Passive and Active Investing

Why Should Parents Invest in Endowment Plan?

What are Mutual Funds?

Investments Options to Buy a house in India

Asset Allocations in ULIP - Know the Top Benefits

Are Gains from ULIP Sale Taxable?

ULIP Plan as a Gift

What are the Best Investment Options for Beginners or Amateur Investors in India?

Successful Financial Planning for Urban Women

Factors Affecting Stock Markets

What is the Importance of Saving Money?

Learn About Safe Investments with High Returns in India

Beginner's Guide to Wealth Creation: Meaning, Strategies, & Importance

ULIP Benefits You Can Avail from Early Investing

How to Manage Inheritance Money?

Difference Between Guaranteed Savings Plan and ULIP

Basics of Guaranteed Savings Plan

Best One-Time Investment Plans in India

Savings Plan for Grandchildren

Debt ULIPs vs. Debt Mutual Funds: What's the Difference?

Which is Better – FD, Mutual Fund, SIP, or ULIP?

ULIP Investment Strategy: Top Tips to Improve Your ULIP Gains

ULIP vs FD - Which is Better and Why?

How to Start Saving Money in 10 Simple Ways?

Safe Investment Options with High Returns for FY 2018-19

What is ULIP Renewal?

How to Plan Savings from Salary?

Different Types of Endowment Plans

How to Plan Your Child's Education - A Step-by-Step Guide

How to Fulfil Your Financial Goals in the Next 10 Years?

What is better - Guaranteed Savings Plan or Fixed Deposit?

How Do One-Time Investment Plans Work?

Which are the Best Investment Plans for Indian Senior Citizens in 2022?

Top 6 Investment Plans Available in India

Best Investment Options in India in 2022

Can ULIP Help in Achieving Short-Term Financial Goals?

Endowment Plan vs Fixed Deposit?

Investment Options for NRIs in India

What are Tax-Deferred Savings Plans?

Top 5 Investment Options in 2022 for Healthy Returns

Customising investments to manage your wealth

Top 5 Principles That Need to be Followed for Wealth Creation

Difference Between Guaranteed Savings Plan and Guaranteed Income Plan

3 Tips to Buy Guaranteed Savings Plan

What's Better for Your Child's Education? Child Plans or Mutual Funds?

Building wealth through regular investing

Why Do You Need A ULIP Plan - All You Need To Know

Importance of Portfolio Management

What are the Best Short-Term Investment Plans with High Returns?

Are Money Back Policies Helpful? A Complete Guide

Things to Know Before Buying an Endowment Plan

How Does an Endowment Plan Work?

Receiving regular payouts at various stages of life

Why ULIP is Better Investment for Long-Term Wealth Creation?

What are Deferred Savings Plans?

ULIP as an Investment for Your Child

Savings vs Investment: Know the Difference

Planning Financial Goals and Objectives of Financial Planning

What is Fund Switch in ULIP? And ULIP Fund Switching Techniques

What is a Savings Plan and What are is Benefits?

How Can a Legal Nominee Claim ULIP Benefits are the Policyholder’s Death?

उच्च रिटर्न प्राप्त करने के लिए सर्वश्रेष्ठ इन्वेस्टमेंट विकल्प

How Much Wealth Can You Create from ULIP in 10 years?

Creating a second source of income with life insurance

Short Term and Long Term ULIP Plans for Wealth Creation

How To Diversify Portfolio In 2022?

Is This The Right Time To Invest In ULIP? Why or Why Not?

4 Important Tips to Maximize Gains with ULIP Investments

How to Manage Your Portfolio Like a Professional?

Why Should You Consider Guaranteed Savings Plan for Long-Term Investment?

Benefits of ULIP as a Child Insurance Plan

Top 10 Investment Strategies to Create Wealth

Long Term Savings Plan - Best Savings Investment Plans in India