Photoshop 7 Transparency

[dave milbut]

or

you can select the color or area you want to make transparent and click the add layer mask button in the layers palette... ok that's #2, who's got the 3rd way? :)

[Colin Walls]

Or select the area you want to keep and ctrl-J. That gives you a new layer with just the pixels you want and the rest of the area transparent.

Is that the 3rd way?

[LenHewitt]

Martin,

Using Save for Web you can drag any colour from the palette to the
transparency icon at the bottom of the palette.

[dave milbut]

4 and counting. I love photoshop!

[ninjasavant]

or click on Help>Export Transparent Image. It gives you a little step by step wizard thing.