how are you going to spend your 407€ from Uncle Ben?

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Opponent Process
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how are you going to spend your 407€ from Uncle Ben?

Post by Opponent Process »

I'm guessing inflation-protection is the rule of the day? please pass the VIPSX...
Last edited by Opponent Process on Thu Jan 24, 2008 3:10 pm, edited 3 times in total.
timid investor
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Post by timid investor »

I think I'll buy a six pack and some lottery tickets ,
or maybe I'll return the favor by donating to a politician in hopes of influencing "his" votes?
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zhiwiller
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Post by zhiwiller »

Where's a link to proof everyone's getting $500?
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Opponent Process
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Post by Opponent Process »

zhiwiller wrote:Where's a link to proof everyone's getting $500?
the deal is still being ironed out...somewhere between $300-$800 per person:

http://www.usatoday.com/news/washington ... ates_N.htm
jms969
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Post by jms969 »

I think you mean Helicopter Ben :lol:
I want to die peacefully in my sleep like my grandfather, not screaming like the passengers in his car.
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Post by grumel »

[political comment removed by Moderator Mel]

*Dont get misslead by the smily, its no joke, its a funny fact.
plake15
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Post by plake15 »

OHH ..I feel a lightining bolt about to strike in the the name of forum moderator! for the above comments..I'm taking cover..
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NoMoreInvestingExcitement
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Post by NoMoreInvestingExcitement »

zhiwiller wrote:Where's a link to proof everyone's getting $500?
Don't know about "proof," but I read the following:

"With the president expected to speak Friday in general terms about a stimulus package, congressional sources told Dow Jones and Bloomberg News that the White House wants to give individuals an $800 tax rebate and households $1,600, while letting businesses deduct half their new equipment purchases. Democrats would weigh in with their own proposals.
"

http://www.chicagotribune.com/business/ ... b01_layout

... it's a windfall so blow it, right? Um, I mean, try timing the market and waiting for the exact bottom before investing? No, that's not it either. OK, OK ... stay the course ... 70/30 ... tough crowd.
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nisiprius
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Post by nisiprius »

We've got a stream of not-fully-expected expenses having to do with an ailing relative's situation. If the money materializes it will go straight into our checking account. The resulting change in our cash flow will be hard to analyze but may or may not have a probabilistic effect on whether or not we are able to keep our credit card balance paid off and max out our Roth IRAs this year.

In other words, we'll do our patriotic duty and blow the dough promptly.

Those particular dollars will go into circulation immediately. Whether or not they simply displace other dollars of ours that would have gone into circulation anyway is an imponderable.
Annual income twenty pounds, annual expenditure nineteen nineteen and six, result happiness; Annual income twenty pounds, annual expenditure twenty pounds ought and six, result misery.
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Christine_NM
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Post by Christine_NM »

I've been wishing for a really nice coffee maker and an espresso machine. And new cups and a few pounds of Starbucks beans.

Of course, for those already in debt, it will mean more debt. Last time we got rebates I read that people spend the money twice. First when they hear they will get it, they buy on credit, and then when the check comes they spend again rather than paying off their debt.

I think Congresscritters and Uncle Ben know that too. Keep it to $500 and the effect will be $1000 per person.
PlainJane
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Post by PlainJane »

Well, I should say its going right into savings, but I really really want to join gym. Who knows.

Jane
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dphmd
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Teeth

Post by dphmd »

As posted in another thread, I have some dental work that needs to be done. Now I'll be able to afford the peanut butter AND the jelly after I see the dentist without pulling money out of my emergency fund.

This is an interesting forum to be asking the original question. The purpose of the refund is to stimulate the economy, which will only happen if people increase their spending after they get it. For the most part, I suspect that Diehards are more likely to see another opportunity to save and invest when we should be out buying brand-new SUV's.

Of course, if more people followed the advice on here the mortgage industry wouldn't have had a meltdown, so I guess it balances out.

David
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Post by Rose21 »

Mine's going to short the financials. Idiots.
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Woot

Post by IlliniSigEp »

Wedding fund!

-Dave
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SpringMan
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Post by SpringMan »

Don't forget that any money Uncle Sam gives us is mostly likely taxable. There has got to be better ways to stimulate the economy. I rather see a reduction in business taxes and I don't own a business. If I do get a check from the government, it would go into savings. A new computer would be nice but can not justify it because the old clunker still gets the job done.

Regards,
Best Wishes, SpringMan
cdwood
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Post by cdwood »

Help me here. Has this been done before? I mean a rebate of this sort for this type of "emergency"? I can't recall such a thing at the federal level.
Thanks,
-- C Wood
Tramper Al
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Post by Tramper Al »

jms969 wrote:I think you mean Helicopter Ben
Yeah, or was there some kind of class action settlement for white rice?
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dphmd
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Post by dphmd »

cdwood wrote:Help me here. Has this been done before? I mean a rebate of this sort for this type of "emergency"? I can't recall such a thing at the federal level.
Thanks,
-- C Wood
Emergency = election year.

David
Discipline is freedom.
philip
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Post by philip »

Guys, Uncle wants you to spend that $500
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tdhg566
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Post by tdhg566 »

AND spend it on domestically produced goods. Hummmm, let me see, what can I buy that's produced domestically...

looking...

looking...

looking...

still looking...

getting weary, but still looking...

...
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ResNullius
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Post by ResNullius »

I would bet almost anything that DW and I won't see a penny. I don't think the so-called rich are going to get anything. I've been mostly retired for 9 years now, but I still do a little part-time consulting, which generates sufficient income to bring down the wrath of income-redistributionists.
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Post by Rodc »

$500 is not enough for me to go about making much in the way of plans.

If it happens, I'll probably just stick it into short term savings.

From there at some point it might go towards a car repair, end up going towards a summer vacation, or it might sit there for a few years until we have some need to tap the short term savings to smooth some bump or other.
We live a world with knowledge of the future markets has less than one significant figure. And people will still and always demand answers to three significant digits.
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gdetore
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Post by gdetore »

You all are lucky. If I get five hundred it will about cover the APPLICATIONS to college my second college bound child is spending. I wish I'd read this forum, oh, twenty years ago. College savings? Ha. Remortgage and work until I'm 83, yup. Do have 403b (finally learned about savings) enough to pay off the mortgage when I hit sixty, unless the market does a 1933 or 1929 style dive. Then I guess we can hope for a nasty dictator to start a war and revive the economy. There is humor in this post, please don't attack me!
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zhiwiller
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Post by zhiwiller »

Opponent Process wrote:
zhiwiller wrote:Where's a link to proof everyone's getting $500?
the deal is still being ironed out...somewhere between $300-$800 per person:

http://www.usatoday.com/news/washington ... ates_N.htm
Thanks, I wasn't being skeptic, I just heard a lot of talk but couldn't find a news story.
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Post by FinanceGeek »

I predict that the average basket of goods is about to have an inflationary rise of $500 in price.
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mijo40
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Rebate

Post by mijo40 »

My spouse will place all of it in her Roth Ira. This will also help a little bit make up for the loss of interest received in the Vanguard US Treasury MMKT because of the feds insistance on lower rates so we can have more bubbles and inflation. I fund both of our IRA's with earnings from that fund. We do have earned income to entitle us to Roth Contributions.

milan
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Post by MnD »

A night at the strip joint drinking domestic adult beverages. All "goods" are likely made in the USA! And you'll be helping those young ladies get through med school :D
tdhg566 wrote:AND spend it on domestically produced goods. Hummmm, let me see, what can I buy that's produced domestically...

looking...

looking...

looking...

still looking...

getting weary, but still looking...

...
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Post by SoonerSunDevil »

I will be spending my check on law school books or one hand of Blackjack. I cannot decide which option will give me the highest possible payoff for my given investment of $500 :)

John
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Post by Kenster1 »

Jan. 18 (Bloomberg) -- The Bush administration is close to completing an economic-stimulus proposal that economists say may have a modest effect on boosting the economy and averting a recession.

The plan, which is subject to revision, will include $800 rebates for individuals and $1,600 for households as well as tax breaks to encourage businesses to invest, people familiar with the package said.

President George W. Bush discussed various options with congressional leaders yesterday and will lay out the principles, though not the details, of the package today. Congressional leaders say any economic-stimulus plan may be as much as $150 billion.

``It's getting money to people who are likely to spend it,'' Leonard Burman, director of the Washington-based Tax Policy Center, said of the Bush plan. ``It might do a little good for the economy.''
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tibbitts
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plans for rebate

Post by tibbitts »

We spend about 200% of income now, so I guess it would be down to maybe 195% after the rebate. $500 is actually a relatively significant amount to us, but becuse we'll still be spending so much more than we make, there will be minimal incentive to spend more.

Paul
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jeffyscott
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Post by jeffyscott »

I think I should have waited to dump VIPSX, these guys won't be happy until that has a negative real yield.
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Ted Valentine
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Post by Ted Valentine »

Probably medical bills
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Maineiac
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Post by Maineiac »

probably a little on wine and wild women, and then spend the rest foolishly. :twisted: :lol:
73, | Larry
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ElJay
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Post by ElJay »

Oh goodie, $800!! The world is now fixed. I think half will buy me some shares of TR 2045 in my Roth, and the other half will pay down some of my 5.75% student loan at the wonderful Sallie Mae company.
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Post by tetractys »

When Regan was in office he stimulated the economy by passing out free 10 lb blocks of cheddar cheese. It wasn't that good though, it might have been military surplus. -- Tet
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Cosmo
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Post by Cosmo »

I think I will use it to pay the therapists that I am seeing so that I can continue to be assured that I am not crazy.
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oneleaf
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Post by oneleaf »

tetractys wrote:When Regan was in office he stimulated the economy by passing out free 10 lb blocks of cheddar cheese. It wasn't that good though, it might have been military surplus. -- Tet
Is this true? The reason I ask is that my childhood memories include vague recollections of a big block of yellow orange cheese that we chipped away at for years, and never could finish. Is this the block of cheese you are referring to?
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goggles
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Post by goggles »

Christine_NM wrote:I've been wishing for a really nice coffee maker and an espresso machine. And new cups and a few pounds of Starbucks beans.
Check out the Rancilio Silvia espresso machine. Glorious. It will end up taking all $500, though. Dang.
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Kenster1
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Post by Kenster1 »

Shhhh....don't tell your wife....she may wanna spend it all on that Vuitton or Coach handbag.
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Ariel
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Post by Ariel »

I'm gonna give my "refund" to my kids -- it's their money after all. We're borrowing yet more from future generations. It's not like the government suddenly found extra money. I expect tax recepts will be way down.
Do what you will, the capital is at hazard ... - Justice Samuel Putnam (1830), as quoted by John Bogle (1994)
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Post by Christine_NM »

goggles wrote:
Christine_NM wrote:I've been wishing for a really nice coffee maker and an espresso machine. And new cups and a few pounds of Starbucks beans.
Check out the Rancilio Silvia espresso machine. Glorious. It will end up taking all $500, though. Dang.
Thanks for the recommendation, goggles. I've been looking at the vast array of machines and so far been suffering paralysis from analysis.
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Post by gt4715b »

It depends on whether it is actually a rebate or just temporarily giving you back your tax witholdings. The "rebate" in 2001 was the latter. If this so-called rebate is the same, I'll just put into short-term savings so I don't have to come up with an extra $500 come tax time April 2009.

If it's a real rebate with no strings attached, I'll spend it on a short vacation or a lens for my digital SLR.
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Kenster1
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Post by Kenster1 »

CNNMoney:

Once a rebate is decided on, the IRS could start mailing out checks by the end of June, said Jason Furman, a senior fellow at the Brookings Institution. The IRS, however, is not yet commenting on the matter since negotiations about the rebate are still under way.

The goal, however, for both Democrats and Republicans is to get the money into the hands of consumers as soon as possible.

In a briefing after the president's statement, Treasury Secretary Henry Paulson said, "If (tax relief) is broad-based and simple, I believe we'll be able to get it out quickly and in time to make a difference this year."

Right now, President Bush is said to want an income tax rebate that would be generated by eliminating the 10 percent tax bracket, which applies to roughly the first $8,000 of income for single filers and the first $16,000 of income for married couples filing jointly.

That would mean taxpayers could get rebates of up to $800 if single, or $1,600 if married.

But neither President Bush in his statement nor Paulson in a briefing afterwards would confirm that amount. "I don't want to play bigger than a bread box," Paulson told reporters. "The president is focused on broad-baseed tax relief for those paying taxes."

Who would get it

Democrats could get on board with an income tax rebate if it's fully refundable, meaning that everyone with earned income would get the full rebate, even if they didn't make enough money to owe income tax, said Furman.
Last edited by Kenster1 on Fri Jan 18, 2008 12:58 pm, edited 1 time in total.
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Post by MnD »

oneleaf wrote:
tetractys wrote:When Regan was in office he stimulated the economy by passing out free 10 lb blocks of cheddar cheese. It wasn't that good though, it might have been military surplus. -- Tet
Is this true? The reason I ask is that my childhood memories include vague recollections of a big block of yellow orange cheese that we chipped away at for years, and never could finish. Is this the block of cheese you are referring to?
Yep we had one although I think we got it from a neighbor who picked it up. There was a scandal in the news in the mid 80's regarding millions of pounds of "surplus cheese" bought by the government to prop up dairy ag prices and sitting in warehouses until the expiration dates and then thrown away.

So Reagan ordered it all be given away. It was supposed to be means tested, but if I recall anyone that showed up at the distribution place was given 10 pounds. Also big blocks of butter and dry milk although most was cheese.
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tetractys
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Post by tetractys »

oneleaf wrote:
tetractys wrote:When Regan was in office he stimulated the economy by passing out free 10 lb blocks of cheddar cheese. It wasn't that good though, it might have been military surplus. -- Tet
Is this true? The reason I ask is that my childhood memories include vague recollections of a big block of yellow orange cheese that we chipped away at for years, and never could finish. Is this the block of cheese you are referring to?
Oneleaf, it's true, about '82, Spring or early Fall I think?. I walked to the food bank with some friends and we all stood in a long line together and picked up our blocks of cheese. -- Tet

And oh yes as Mnd is saying, there were boxes of dry milk. I got two of those--my first experience of the stuff which I subsequently learned to tolerate. I don't remember the butter, probably because I ate so much of it.
Last edited by tetractys on Fri Jan 18, 2008 1:06 pm, edited 1 time in total.
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NateH
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$800

Post by NateH »

If they want us all to spend $800, why not just suspend payroll collections for one payday? Save a stamp! That's about $120 million in postage right there!

It must be fun to print money.
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nisiprius
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Post by nisiprius »

gt4715b wrote:It depends on whether it is actually a rebate or just temporarily giving you back your tax witholdings. The "rebate" in 2001 was the latter. If this so-called rebate is the same, I'll just put into short-term savings so I don't have to come up with an extra $500 come tax time April 2009.
Yeah... I remember back sometime around 1992 or 3 or thereabouts. I finally decided to stop being sloppy and stop being overwithheld and getting a refund. So I spent some quality time with a spreadsheet and filed a W-4 or whatever it was to get my withholding exactly right.

Fast-forward to tax filing time. Well, instead of get a refund as I used to, or being all square as I expected, I owed taxes... enough to be quite annoying.

I went to payroll to find out what had gone wrong, and they told me that a few months after I filed my W4 the IRS had cut its withholding formula. Apparently they thought it would make people feel happy, or create the illusion of paying less taxes, or something. And, for some reason, hadn't told businesses to inform their employees.
Annual income twenty pounds, annual expenditure nineteen nineteen and six, result happiness; Annual income twenty pounds, annual expenditure twenty pounds ought and six, result misery.
Eric White
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$500 may be high; $333 by my calculations

Post by Eric White »

Here are my rough calculations:

===================
$150,000,000,000 stimulus to both businesses and individuals as a whole

$100,000,000,000 stimulus to individuals as a whole
300,000,000 individuals
$333 stimulus to an individual

$50,000,000,000 stimulus to businesses as a whole
n/a for individual rebate
===================

Although 300 million individuals are not all taxpayers (e.g. young, undocumented, etc.), it's probably ballpark $333/person before taxes. That may not go that far...
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oneleaf
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Post by oneleaf »

tetractys and MnD,

Thank you so much for resolving a childhood mystery of mine. My brother and I remember the block of cheese, but never made much sense out of it. We took it out of the freezer and chipped away at it. I remember it tasted pretty bad. We never understood why we had it.
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jeffyscott
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Post by jeffyscott »

tetractys wrote:
oneleaf wrote:
tetractys wrote:When Regan was in office he stimulated the economy by passing out free 10 lb blocks of cheddar cheese. It wasn't that good though, it might have been military surplus. -- Tet
Is this true? The reason I ask is that my childhood memories include vague recollections of a big block of yellow orange cheese that we chipped away at for years, and never could finish. Is this the block of cheese you are referring to?
Oneleaf, it's true, about '82, Spring or early Fall I think?. I walked to the food bank with some friends and we all stood in a long line together and picked up our blocks of cheese. -- Tet

And oh yes as Mnd is saying, there were boxes of dry milk. I got two of those--my first experience of the stuff which I subsequently learned to tolerate. I don't remember the butter, probably because I ate so much of it.
I am pretty sure you folks are exagerating, I think it was only 5# blocks of cheese :wink: . My wife and I got a number of those and flour, butter, etc. when we were college students with a kid. Living on my $8000 per year assistantship. Unlike some of you we were happy to have it.

That program was a lot more sensible than the WIC program of that time, which involved a "milk man" banging on our door at like 4:30 am to deliver our free milk, cereal, etc.
The two greatest enemies of the equity fund investor are expenses and emotions. ― John C. Bogle
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