How it works
The 'pinwheel' method opens a new savings account with the same monthly amount every month, so that starting in year two, one account matures every single month. You get steady interest without locking up a lump sum for a year, plus the discipline of forced saving. Month 12 is the heaviest month (peak total outflow); from month 13 onward, matured accounts start paying out every month.
FAQ
Q. Why does the number 78 show up?
A. Over the first year, account 1 accumulates 12 months of deposits, account 2 gets 11, and so on down to 1. Since 1+2+...+12 = 78, that factor gives the total principal accumulated in year one.