**Annuities are how smart people save! This is where you invest a set amount each month...**

**A little at a time is the way to go!**

**Here's how it works:**

**Let's invest $100 each month at 12% compounded monthly...**

**Beginning of January: You put in $100.**

**On the last day of January:**

**They compute your interest...**

**(Remember that, if we make 12% for the whole year,we'll make 1% each month.)**

**On February 1st: You put in another $100.**

**On the last day of February:**

**They compute your interest...**

**On March 1st: You put in another $100.**

**On the last day of March:**

**They compute your interest...**

**On April 1st: You put in another $100.**

**On the last day of April:**

**They compute your interest...**

**On May 1st: You put in another $100.**

**On the last day of May:**

**They compute your interest...**

**On June 1st: You put in another $100.**

**On the last day of June:**

**They compute your interest...**