First choose the type tool
in the toolbox and then, in the options bar select either normal (solid color)
text or text mask. Then select either a horizontal or vertical
orientation for the text. Select other properties such as font and size but be
aware that you can also change these properties after the text has been
created. Click on the image where you want to create the text then type your
text - press the Enter key on the numeric keyboard when you have finished. Make
sure that the layers palette is visible and you will notice that a new text
layer has just been created - you can tell it is a text layer by the 'T' symbol.
When you have finished typing the text and have pressed Enter on the numeric keypad then your
text will now exist as a separate layer - you can confirm this by opening the layers palette with Window>Show Layers.
Note that the new layer is a type layer, as indicated by the letter 'T'.
While
the type layer is selected you can use the move tool
to move the text to the desired location in the image. If you want to change the
text in version 5 then just double-click the name of the type layer and the dialog box will
reopen - don't forget to select the text if you want to change properties such
as font, size or color. To change the text in version 6 then just make sure that
the correct type layer is selected and then you can click the text on
the image and edit it in its final position.
As explained in the Layers lesson, information about
layers can only be recorded if you save your picture in the PSD format. Once you
are sure that your image is finished, however, you should save it in the
very compact JPG format. I suggest you
turn on auto-kern and anti-aliased, though you can specify any font, size and
color that you wish.
Anti-aliasing (lissé, in French) is a slight blurring of the edge of
the letters to stop them appearing jagged. Here are letters typed without
anti-aliasing and then with anti-aliasing:

Kerning controls the spacing between
two characters. Although it is possible to control the spacing manually, this is
for experts only - I suggest you turn on 'Auto-kern' i.e. use the kerning built
into the font by the font designer. The shape of the letters 'A' and 'W', for
example, means that the space between them may look too large unless they are
kerned closer together. Look below to see how auto-kerning has slightly reduced
the spacing between the letters A and W when they are next to one another. In
the first line, auto-kern is turned off. In the second line auto-kern was
turned on and the spacing between the letters has been automatically
reduced. Auto-kern was also turned on for the third line but the spacing
between the letters has not been reduced because the shape of neighboring
letters does not allow this.

Tracking
inserts uniform spacing between more than two characters in selected type. Again, this is for advanced work and I suggest you ignore the tracking option
for the time being.

What special effects can be applied to text? With the type layer selected you
can apply various menu items such as: