To Create the cool Favicon icons that you see next to a website’s URL in the address bar is fairly easy. You first will need to download the photoshop plugin at Telegraphics and follow the instructions they provide in the downloaded file. The instructions are really simple just copy and paste the plugin file into the photoshop plugin folder.
Next you want to create a new file in photoshop 16 x 16 px. You can create it bigger if you would like at 64 x 64px to see what it will look like at a bigger size. Once you design something you simply save file as favicon and choose the ICO format. Save the file in the main website directory. Paste the code below within the head of each page.
<link REL=”SHORTCUT ICON” href=”/favicon.ico”>
That is it you are done. Below are some sample favicon files.