Selecting/Copying/Creating Transparent Images in Photoshop CS2

Now that you've isolated a section of an image that you'd like to incorporate into a multi-layered image such as an advertisement, you need to place it on a transparent background. To do this, we'll want to copy our bug into a new image file. Start by using the magic wand to select the white space around the bug. Because the white space is separated into multiple sections, you'll have to select multiple selections by holding down the Shift key and clicking in each individual part.

At this point you've selected all of the unnecessary parts of your image but none of the parts that you actually want. The most efficient way to select the bug and leaves only is to do this first, because we can shift the selection to the bug through the Inverse command. Access this by going to the Select menu and clicking Inverse. (Alt-S-I)

After selecting the inverse of the image (in this case, the bug), go to the Edit menu and select Copy. (Ctrl-C)

Doing this transfers the image into the Windows clipboard temporarily. Now you'll need to open a new document, so go to the File menu and click New.

When the new image dialogue comes up, name your image and select "transparent" under the contents subsection. Because you have copied your bug to the clipboard already, Photoshop should recognize the appropriate size canvas to place the image, but you may wish to create a bigger canvas. This can be done manually later, but it's best to start out by approximating the size you'll want.