Short-Term Financial Plan

Short-term financial plan

A financial plan that covers the coming fiscal year.

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Short-Term Financial Plan

A financial plan outlining investment and other financial goals for the coming fiscal year. Short-term financial plans involve less uncertainty than long-term financial plans because, generally speaking, market trends are more easily predictable in the short term. Likewise, short-term financial plans are more easily amendable as a result of the short time frame. Short-term financial plans usually invest in short-lived securities, such as T bills. A short-term financial plan aims to achieve goals that would be beneficial for one's long-term financial plan.