Just wanted to let everyone know that there are multiple options for inserting pictures. The basic way is just to set an IMG link within your post if your pic is hosted on another site such as photobucket or imageshack.
The other way is to actually upload it as an attachment. With this option, whatever size picture you have is scaled down to fit into the topic window. When clicked on, it will automatically resize to the original specs.
Example of "attachment" method - first post in the thread: