If you do a modicum more research you will also find conclusive evidence that what you propose with Normal.dotm will corrupt it (and possibly, other files on your USB drive) if you don't always close Word and go through the safe removal process before removing the drive. Still, if you don't care about the consequences, by all means go ahead - the default location is set via File|Options|Advanced>File Locations. You have been warned.
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Cheers,
Paul Edstein
[Fmr MS MVP - Word]
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