Default Directory for Utilities like Notepad or by extension type

This is a nuisance item but I wondered if there was a place to set these other than doing each as they come up.
Example would be creating a shortcut for notepad. I have always made one on every system in every version of windows and never had this problem. The default starting directory is system32 so every note you make when saved tries to go there and i have to correct it. I finally noticed that this default directory was actually named in the properties of the shortcut so that fix was done.
But i do not remember ever having to do that before? It seems that when done previously, the notepad items either went to the current location or maybe to documents but never to system32 (which is the location of the program notepad.exe).

I can understand WHY it happens, but is there a way to specify that it NOT happen like that? In the case of notepad, what would be most helpful is for it to save at the location currently in focus. If I am on desktop when I create it, I would want it on desktop. If i am in some sub-folder, i would want it there instead.

Others like paint, i would probably want the same "save to current location" as i would need the item later at the same place it was before.

In a similar vein, can i set all .png files to go to a specific folder? And same for other file types?

I have never seen that. Are you running as some other user than a normal user? The only reason I would see that happen is if you are somehow running as SYSTEM user.

Windows should always default the "save" to your Documents directory.

No. this is a normal thing and i can see how and why it happens. I just have never noticed it happen in the past with earlier versions of windows before 10. (Or maybe 8/8.1 i just never paid attention).

Another thing i noticed is that the path to the current version of MS Office is no longer added to the "Path" statement by default. This was something else that caught me by surprise as i was making some batch scripts to call Outlook and found i had to include the FULL path to the location of the .exe file.

This can easily be checked by typing Path at a command prompt of course but i don't ever remember having to add the full path to file for things like WORD EXCEL etc. But I could be wrong and just don't remember doing it.
I have since added the path to Office to most of the systems i work with but now I wonder if it was not left off for some good reason and maybe i am going to regret doing this?.

Notepad.exe is located in windows\system32 so if you right click, create shortcut and type in notepad, that location is added for the start-in folder. Because of that, it is also the automatic Save to folder by default, Since you cannot save to system32 normally, you end up having to change the place to save each time you use it.

Easy fix, just change the start-in folder to desktop or documents etc. I was just wondering WHY it now needs to be set.
Same on Outlook. Once i added the path to office, my shortcut calls for outlook can be reduced in length by a LOT!
I am using Office 365 if it matters with Windows 10 Pro X64. No special Admin Privs or anything else.