When the jar is leatherhard, cut the lid free at the bottom of the uppermost notch. Place it upside down in the rim of the cylinder; trim the outer edge to remove any ragged or uneven clay.
Replace the lid, which should now fit snugly into the upper rim. Using the fettling knife, cut off the top section, again at the bottom of the notch. Trim the edges so the top section fits into the bottom section. Repeat with the next section.
Add a slab to the bottom of the top two sections, to make it into small jars with a lids, that function as lids for the jars below them.
This set is quite small - useful for earrings, or maybe as a spice jar; but if I made a much bigger one it would make a nice coffee/tea canister.