re: #397 Belafon
They’re kind of related, and there also why people like having extra withheld. People are lousy savers. There’s always that one emergency or just that one cheap nice thing to have - like a trip to the movies - that takes a little bit out of your check. If you can’t see it, then you can’t spend it.
Tell people all they have to do to have a thousand at the end of the year is to put away $20 per week, and at the end of the year they will have $0. School fees, sudden expenses, etc, will cause them to pull from that pool. Let someone else take it out, and they can’t get to it until refund time.
oh, i dont disagree at all. that’s why i said the interest free loan isnt a big deal. it is an effective ‘christmas club’ (remember those) for many people.