DSF

The magic wand tool is the one that looks like a sparkler, it is normally towards the top of the vertical toolbar, when it is selected the options for tolerance, anti alias & contigous can be found along the top bar.
With this tool click somewhere on your background, you will get the " marching ants" that indicate the selected area, this should be all of your background but not the image. If all your background is not selected try increaseing your tolerence by 5 and re-clicking, or holding the shift key down and clicking in an area that is not selected. You are aiming to have all the background selected but none of the image.
When this is done, click on the select option on the top (grey) toolbar, this will drop down a list of options, click on the "inverse selection" option. You have now selected the image rather than the background.
Now click again on the select option again, this time click on the "modify" option and select "contract", enter 2 pixels in the box.

Many thanks for that, I have printed out your answer and will be trying it out, as soon as I've finshed reading all the new post.Thank You, Thank You Pablo

I did that, but I still had the marching ants at the end and it went down the layer, as well even though I had that layer turned off I just need the mask to be slighter smaller. How far with pixel reduction could I go, sorry to be soild but always struggle with something different or new.

I did that and tried it on a shirt but the mask looks bigger than image, is there a photo shop page the shows this for idiots that I can do step by step not that your instructions were'nt clear, it is me , going to peel it in a mo but its not looking good .

You could try typing "mask tool" into photoshop help pages, and it will show you what to do