Cash kills wealth

I'd guess the majority of small business (15 or so employees) if they opt to use a payroll service will seek out a local acctng firm as their provider as opposed to ADP, Paychex and such. Paychecks are not mailed to the employers - most just probably go by the office and pick them up.

As for the Quickbooks service - I don't use it - but suspect payroll checks are produced on the employer's printer and is virtually indentical to using Quickbooks Accounting Software - except your doing everything with an online version of the software instead of software loaded directly on your computer. The advantage to Quickbooks Enhanced is that the software you are using is always up-to-date.

 

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It isn't going to change the value of the money. If the money has been lost by the bank, from the purchase of an investment that turns out to be worthless, for example, then the FDIC contribution isn't adding to the money supply. It is putting it back to the level before the failure. And it is highly unlikely that this money will be spent. It will just move from one form of savings to another.

 

Pretty sick post. I hope you get well.

 

ROLF

The sad thing is, you just wish he would break a smile occasionally and laugh a little.

 

You are very perceptive, but I still think it is a sad situation.

 

You hit the nail on the head. It's the cheapest way to handle finances for a company of this size or smaller.

 

Cloud, my dear, I still consider you my #1. groupie. So don't be so sad.

(hint: sad is people making posts on a bullion forum to talk about other forumers. I don't do this. I either talk directly to them or not at all. )

 

Oh I find you quite hilarious. You have nothing to worry about.

 

I feel sorry for you and the demons you fight, but at the same time I dislike the misleading information that you dispense that might hurt others. As for talking about other members, you've sure done your share. Even if you hadn't, I'll continue to post what I like within the rules of the forum.

 

I'm a little foggy on this, but isn't your statement dependent upon the FDIC having adequate deposit funds in the first place? My impression is that if enough banks were to fail to deplete deposit funds, which have been dwindling with each subsequent bank failure, that then the only alternative would be a bailout of the FDIC by money printing. So while I am in agreeance with your statement on a case by case basis, I am wondering if the original question does still apply in the event of a more widespread impact.

 

There are others like her on this board, that post identical, uneducated, comments. I corrected one of them this week. The guy has absolutely no clue, and no education, yet he posts like the know-it-all that he thinks he is. Cloud you do a good job of clearing up her misleading posts.

 

It is my opinion [since nobody can prove it either way] that the federal government would provide virtually unlimited funds to the FDIC to back up their promises. But the money provided doesn't add to the money supply. It merely replaces the decrease in bank account balances that otherwise would be recorded as a drop in the money supply. A situation where there are a large number of bank failures at the same time would probably be accompanied by crashing markets - which is deflationary. So FDIC insurance is really a deflation fighting tool, not a monetary expansion tool.

 

I don't consider fatima uneducated or clueless. I think fatima considers this a game and gives insufficient consideration to the possibility that there are folks here fairly new to investing and precious metals that will be misled and perhaps financially damaged by the posts.

 

I'm having a hard time wrapping my head around this one.

It sounds like you're saying it's not possible for this process to expand the money supply since even if it were money created out of nothing it would only be replacing money that was essentially destroyed (disappeared). However, say there is a bank run, everyone takes their money out, how is that decreasing the money supply? The money is still out there being used, it's just not on that bank's balance sheet.

Alternatively, if the money is not created out of thin air, and instead is coming from existing FDIC deposit funds then according to what you are describing that would actually create deflation since existing money is being used to fill the void of the disappeared money. Is my thought process making sense? I feel like I'm missing something.

 

Well, if people take their money out of the banks, the FDIC won't owe them anything, so there is no money supply increase.

I think you are correct that to the extent the FDIC merely uses cash on hand to pay depositors, the transaction would be moderately deflationary. I assume the FDIC keeps their funds invested in something [I didn't check] that would have to be sold to pay depositors and this would depress the price at least a tiny amount. If the FDIC uses "money created out of thin air," then I don't think this would have an immediate impact on the money supply one way or the other.

 

OK I'm in full agreement of following the rules. Therefore, if you feel that I am hurting others on this forum, then report me to the CoinTalk staff. It's not your job to police the forum. No need to keep making posts about my mental health as it is off-topic, a personal attack, and furthermore nonsense that nobody cares about except, oddly, for you.

 

For the record, I have never reported fatima's comments. I just jump up and down, wave my arrm, and yell a lot. And I promise to do my best to refrain from personal attacks.

 

I have only ever used the "report post" icon to call attention to swearing, threats, or spam on posts.

Getting in internet yelling matches is too much fun.

 

I wasn't aware of the "report post" icon until I looked for it a few minutes ago. I wouldn't use it for something I disliked; only something pretty outrageously profane or life threatening.