Is there a model of computation, that tries to be realistic?
As D.W. mentions in the comments, the model you are looking for is the RAM machine. In fact, there are several different models, and I recommend the following recent paper of Fürer's for a good overview.

In contrast to what you describe, the correct ring is $\mathbb{Z}_{2^n}$, where $n$ is the width of registers – up to 512 bits in future Intel processors. The exact value of $n$ doesn't matter at all as long as it's constant, since in computational complexity we are always interested in time and space complexity up to a multiplicative constant. Therefore, to make matters interesting, the RAM models described above let $n$ depend on the input size.

Regarding finitude of memory, this is captured, to some extent, by space constraints – polynomial space (or linear/quasilinear space) for algorithms working on normal data, logarithmic space (or polylogarithmic space) for algorithms working on big data; there are also streaming models for even less space. Restricting the space altogether would be destructive since then all deterministic algorithms would terminate in constant time – to make sense of asymptotics, we must allow space to grow with input size.