ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -Short-Term Financial Goals Your short-term goals should consist of setting a budget, reducing your debt, and starting an emergency fund. There are plenty of free online budgeting tools to help you learn how to budget. Once you figure out a budget, it’s important to start thinking about how you can reduce your debt.

Detailed explanation-2: -Key short-term goals include setting a budget, reducing debt, and starting an emergency fund. Medium-term goals should include key insurance policies, while long-term goals need to be focused on retirement.

Detailed explanation-3: -Short-term financial planning is about solving immediate problems and developing strategies that will lead to results, usually within one year. Short-term goals should be achievable and adaptable to emerging circumstances.

Detailed explanation-4: -For example, you may want to clean out your closet, read that book that’s been collecting dust on your nightstand, save the money you need to go on a long-overdue vacation, or finally run a 10K.