In the example at right, the first image has a gray background. Normally, you want to create your web images on a background color that is close to the color you'll use on the web page where the image will appear.
When you're creating a transparent gif, you are defining a single color as transparent. The image will still be a rectangular bitmap (as the first example shows). When you define the gray background as the color that is transparent, the web browser will not display anything that has that color.
If, for instance, the type appeared on a textured background made up of many colors, you would not be able to create a transparent background until you created a background made up of only one color.
To create a transparent gif using Paintshop Pro, you'll need to find out the Index Number of the color you want to be transparent. Select Colors/ Decrease Colors from the menu bar, and select 256 colors. Use the eyedropper tool to select the color you wish to make transparent, and at the bottom of the screen you will see a status bar. In the status bar, you'll see something like (i=10 R=255 G=210 B=210). The first number is the Index Number. Make a note of it, select File/Save As / Gif. Select Gif89a and then select the Options dialog box. Enter your Index number where it asks for the Value of the transparency color.