Close Button Close Button
X
NRI Services Helpline

Calling FromPhone Number
Calling us from INDIA18002097272 (Toll Free)
Rest of the World+912067871700
(Call charges apply)

Achieve Big Goals With Small Investments

Saving money can feel tough, especially when your dreams are big. But you don’t have to save a huge amount all at once. Instead, try saving a small amount every month. This makes it easier and less stressful. Over time, your money will grow.

This method works for many goals. You might want to pay off a loan, plan a holiday, buy something special, or save for retirement. No matter the dream, saving slowly and regularly can help you reach it. Let’s look at how small savings can help you do big things in life.

Investment Plans
I agree and consent to the Terms & Conditions, Privacy Policy

Get Your Life Goals, Done!

Tailored Life Insurance Solutions for your long-term Life Goals.

Written ByShruti gujarathi
AboutShruti gujarathi
LinkedIn Icon
Shruti gujarathi has 5 years of experience in the BFSI sector, and as Manager- Digital Marketing at Bajaj Allianz Life Insurance, manages digital and content marketing. She has had hands-on experience in content strategy, performance marketing and Strategic Alliances over a career spanning 10 years.
Reviewed ByRituraj Singh
AboutRituraj Singh
LinkedIn Icon
Rituraj Singh,With over 6.5 years of experience in the insurance industry, Rituraj Singh, Manager- Product & Brand Marketing at Bajaj Allianz Life Insurance overlooks new product launches, compliance, and brand projects, leveraging artificial intelligence and technology to enhance outcomes.
Written on: 22nd May 2025
Modified on: 29th May 2025
Reading Time: 14 Mins
Share

What Is a Short-Term Savings Goal?


A short-term savings goal is something you want to achieve within the next 1 to 3 years. It can be a small trip, buying a gadget, or even saving for college fees. These goals don’t need a huge amount of money, but they do need planning Since the goal is close, it’s better to use low-risk savings options.


What Are Good Financial Steps to Take?


Here are some of the ways to plan for your short-term savings:


Paying off debts:


If you have borrowed money from a bank or used your credit card a lot, paying it back can seem difficult. Loans come with high interest rates that grow over time. This means if you don’t start repaying soon, you may end up paying much more.


But here’s the good news: you don’t have to pay a big amount all at once. You can start by saving a small amount every month. For example, if you save ₹2,000 every month, in one year, you will have ₹24,000. You can use this amount to pay off part of your loan. Slowly, your loan amount will reduce. This way, you don't need to change your lifestyle too much. Small and steady savings can help you live a debt-free life.


Following your dreams:


Everyone has dreams. Some want to start a small business. Others want to go on a trip, buy a car, or send their children abroad to study. These dreams can look big and scary when we see the total cost. But if you break your dream into smaller parts, it becomes easier to manage.


You can start by keeping aside a small amount every month in a savings account, recurring deposit, or other safe plan. Over time, it will grow.


If your dream is to travel, pick your destination. Find out how much it will cost. Divide that cost by the number of months you have. Then save that amount each month.


Big dreams don’t need big money all at once. They need small steps and steady planning. The earlier you start, the better.


Also, write your dream down. When you write it, it feels more real. Tell your family about it. This keeps you motivated.


So don’t wait for the “right time.” The right time is now. Begin with what you have. Start with what you can save. Every small amount takes you closer to your dream.


Shaping your future:


Here are some small, simple ways to shape a better future for yourself and your family:


  • Start with small savings


    Even saving ₹500 or ₹1,000 a month is a good beginning. Over time, this amount adds up. You can use it for future needs like school fees, repairs, or buying useful things.
  • Learn something new


    Use your savings to take a class, learn a new skill, or improve something you already know. Skills can help you get better jobs or start something of your own.
  • Build an emergency fund


    Life is full of surprises. Medical bills, home repairs, or job loss can happen anytime. If you save a little every month, you’ll be ready for these tough times.
  • Help your children


    You can save for your child’s school, college, or hobby classes. Even saving for small things like a laptop or a cycle can bring happiness.
  • Plan ahead


    Saving early gives you more control. You’ll be ready for both good times and bad. You won’t need to take loans or borrow money from others.
  • Stay healthy


    Use some savings for your health. Get regular check-ups, eat better, or join a fitness class. A healthy body leads to a better future.
  • Set goals


    Decide what you want in the next 1, 3, or 5 years. Write it down. Save towards it. When you have clear goals, your savings have a purpose.

Small steps every month help build a strong future. Start now, stay regular, and watch your efforts grow.


Making early retirement plans:


Planning for retirement is important, even if it’s 30 years away. Here are some simple ways to start:


  • Recurring Deposit (RD)


    Consider setting aside a small fixed amount every month grows with interest.
  • Fixed Deposit (FD)


    Saving for 1 or 2 years and can be renewed later.
  • Monthly Savings Plan


    A simple savings account or product to save monthly.
  • Prefer to buy retirement plans


    Some long-term products can help you save and offer benefits.

When you start early, even small monthly savings grow big. It becomes easy to have a worry-free retired life.


The Bottom Line


Saving doesn’t have to be difficult. Even setting aside a small amount each month can help you:

  • Clear your debts
  • Chase your dreams
  • Build a brighter future
  • Enjoy an early and stress-free retirement

Here’s how to make it work:
  • Begin with small steps
  • Be consistent
  • Choose secure saving options

Remember, a little saved today can make a big difference tomorrow.


FAQs


What is the 70/30 rule in investing?


A clear way to manage your finances exists through the 70/30 rule. With this system, you dedicate seventy per cent of your income toward essential expenditures such as food and rent, along with utility bills and savings. The 30% portion of your income remains available to spend on leisure activities, including dining out and shopping or travelling. The rule establishes an essential framework which aids the integration of essential requirements and discretionary expenses. Make sure you handle your necessary expenses before you start spending on things you want. Saving your money becomes simpler while spending under control remains possible through this method. People use this budgeting principle to create monthly financial strategies while maintaining their financial well-being. The system functions as an ideal foundation for developing solid financial patterns.


What is the importance of investment goals?


Investment goals are like roadmaps for your money. They help you decide what you want to do with your savings. For example, you may want to buy a house, travel, or retire early. When you have a goal, you can plan how much to save and where to save it. Without a goal, it’s easy to lose track of your money. Goals also keep you motivated and help you avoid spending on unnecessary things. Whether it's a short-term or long-term plan, having clear goals makes saving and growing your money simpler and more effective.


What is the 10 5 3 rule of investment?


The 10 5 3 rule gives a basic idea of how much return you can expect from different options over the long term. It means stocks may give you 10% returns, bonds may give 5%, and savings accounts may give 3%. This rule helps you understand that some savings tools can grow your money more than others, but they may also have more risk. It doesn’t guarantee results, but it helps set a clear picture in your mind. Always remember, returns can change, and you should save smartly based on your own needs and comfort level.


What is the snowball effect in SIP?


The snowball effect in a SIP (Systematic Investment Plan) means your money grows faster over time. When you save a fixed amount every month, it starts earning returns. These returns are then added to your savings and start earning too. Over the years, this amount keeps growing bigger, just like a snowball rolling down a hill. The more time you give your money, the bigger it gets. That’s why starting early is very helpful. Even small monthly savings can turn into a large amount later. The snowball effect shows the power of staying regular and patient with your savings.


Life Insurance Guide -Tax Related Articles

Long term investment plans - What Are Their Benefits?

A suitable financial plan may be defined by its components. Amongst other things, one aspect, it may be incomplete without, is a steady amount of investment.

Read More
Long term investment plans - What Are Their Benefits?

A suitable financial plan may be defined by its components. Amongst other things, one aspect, it may be incomplete without, is a steady amount of investment.

Read More
Long term investment plans - What Are Their Benefits?

A suitable financial plan may be defined by its components. Amongst other things, one aspect, it may be incomplete without, is a steady amount of investment.

Read More
Long term investment plans - What Are Their Benefits?

A suitable financial plan may be defined by its components. Amongst other things, one aspect, it may be incomplete without, is a steady amount of investment.

Read More
Disclaimers:
Plus Symbol
Minus Symbol

The content provided is for general informational purposes only. The material is compiled from publicly available sources, internal insights, and other information deemed reliable. While reasonable care has been taken in compiling the information, Bajaj Allianz Life Insurance Co. Ltd. assumes no liability for its accuracy. The opinions expressed do not constitute formal recommendations, professional advice, or definitive guidance. Readers are encouraged to conduct their own due diligence and are advised to seek independent professional or expert advice before making any financial or investment decisions based on the content. Any illustrations included are for conceptual clarity only and do not reflect the actual performance of any product or offering. Bajaj Allianz Life Insurance Company Ltd., Regd. office Address: Bajaj Allianz House, Airport Road, Yerawada, Pune - 411006, Reg. No.: 116, CIN: U66010PN2001PLC015959, Call us on toll free No.: 1800 209 7272, Mail us: customercare@bajajallianz.co.in

BJAZ-WEB-ECNF-15226/25

X
Disclaimer

*Tax benefits as per prevailing Section 10(10D) and Section 80C of the Income Tax Act shall apply. You are requested to consult your tax consultant and obtain independent advice for eligibility before claiming any benefit under the policy.

~Individual Death Claim Settlement Ratio for FY 2023-2024

1Premium Holiday has to be selected at inception to avail this benefit and also depends on other policy terms & conditions


Bajaj Allianz Life Insurance Co. Ltd. | IRDAI Reg. No. 116

X
Terms & Conditions

I hereby authorize Bajaj Allianz Life Insurance Co. Ltd. to call me on the contact number made available by me on the website with a specific request to call back. I further declare that, irrespective of my contact number being registered on National Customer Preference Register (NCPR) or on National Do Not Call Registry (NDNC), any call made, SMS or WhatsApp sent in response to my request shall not be construed as an Unsolicited Commercial Communication even though the content of the call may be for the purposes of explaining various insurance products and services or solicitation and procurement of insurance business

 

Please refer to BALIC Privacy Policy

X
Disclaimer

%%Above illustration is for Bajaj Allianz Life eTouch- A Non Linked, Non-Participating, Individual Life Insurance Term Plan (UIN: 116N172V03) considering Male aged 25 years | Non-Smoker | Policy Term (PT)– 30 years | Premium Payment Term (PPT) – 30 years | Sum Assured opted is Rs. 1,00,00,000 | Online Channel | Standard Life | 1st Year Premium is Rs. 6,238. 2nd Year onwards premium is Rs. 6,659. Total Premium Paid is Rs. 1,99,349 | Medical Rates | Yearly Premium Payment Mode | Death benefit opted is lumpsum payout and monthly installments (Lumpsum Payout Percentage : 45, Income Payout Percentage : 55) | Premium shown above is exclusive of Goods & Service Tax/any other applicable tax levied, subject to changes in tax laws, and any extra premium and is for illustrative purpose only. This is inclusive of all the discounts mentioned above.

##Tax benefits as per prevailing Section 10(10D) and Section 80C of the Income Tax Act shall apply. You are requested to consult your tax consultant and obtain independent advice for eligibility before claiming any benefit under the policy.Above Tax benefit is calculated considering deduction of Rs. 150,000 and applicable tax rate of 31.20%.

@Term Insurance plan bought online directly from Bajaj Allianz Life Insurance has no commissions involved.

^^The Return of Premium amount is total of all the premiums received, exclusive of extra premium, rider premium and GST & /any other applicable tax levied, subject to changes in tax laws
Bajaj Allianz Life Insurance Co. Ltd. | IRDAI Reg. No. 116

X
Disclaimer

Bajaj Allianz Life eTouch- A Non Linked, Non-Participating, Individual Life Insurance Term Plan (UIN: 116N172V04)

*Tax benefits as per prevailing Section 10(10D) and Section 80C of the Income Tax Act shall apply. You are requested to consult your tax consultant and obtain independent advice for eligibility before claiming any benefit under the policy.Above Tax benefit is calculated considering deduction of Rs. 150,000 and applicable tax rate of 31.20%.

~Individual Death Claim Settlement Ratio for FY 2023-2024

1Premium Holiday has to be selected at inception to avail this benefit and also depends on other policy terms & conditions


Bajaj Allianz Life Insurance Co. Ltd. | IRDAI Reg. No. 116


close
Ask for an Agent
Sign up for personal visit and tailored advice from our expert agents

Claim Settlement Ratio of 99.29%~