I can't take any credit for this but I do want to pass it along cause it was soooo very helpful to get me started with picnik.com. (It's free - my favorite words)
I had heard of Picnik but never attempted to try it until I saw this tutorial Here. After reading this and checking Picnik out I am addicted I have been working on some things for my daughters birthday. I will post the whole party plan and add some printables when I get it all made.