Open a Photoshop document.
Click on the Type Tool. The default is horizontal type but you can click and hold and choose vertical text if you want.
Click on your canvas. This will automatically create a new layer each time. It is a good idea to have each text element on its own layer so it can be moved and modified independently of other elements.
Choose your size, color, font, etc. from the Type menu that appears above your canvas when you are clicked on the type tool:



Type your text. To change the size, color, etc. if you have already typed your text, make sure you highlight the text you typed, then make the changes above to it.
Use the Move tool to move the text on the canvas where you want. If you have more than one layer of text, make sure you are on the correct layer before trying to move your text.

Click on the Layer Styles palette. It may be docked up above with the other palettes or it may be open in the working area.

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You can make drop shadows, add bevels and other styles to your text layer. Choose the different options from the drop down menu (the one that says Drop Shadows in the screen shot above).

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When you are ready to save, choose File > Save for Web...

Tips

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If you will be typing multiple layers of text and want the same styles on each of the layers, you can duplicate the layers each time (Layer > Duplicate Layer), then just change the text on each layer.

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If you want to copy styles from one layer to the next, you can click on the layer that is complete, then copy the layer style (Layer > Layer Style > Copy Layer Style), click on the layer you want the style on, and paste the layer style (Layer > Layer Style > Paste Layer Style)

Other Text Tricks

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Cut-out text like this:

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Warp text like this:

Make sure you are on the text layer and the text tool then choose the Warp Text tool at the far right of the text tool options - then make your selections.

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The following tutorials are regular Photoshop tutorials (not Photoshop Elements). However, they can give you ideas and a general direction for creating interesting text effects. See Photoshop Elements tutorials for more step-by-step ideas.

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Designs by Mark Photoshop Tutorials - lots of type effects

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Rainbow Edges - for text and graphics

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Bold Text - create text that is thicker and bolder

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CoolText.com - doesn't use Photoshop but you can fill in the blanks and create free personalized Web text, buttons and icons.

 

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