Using Pill Buttons

[Myz]

Hi, I self taught myself to create Pill like buttons, that I'd like to use for a presentation in flash for example, or to put on a website as link buttons.
I'm able to create the buttons in Photoshop, yet they're on the stage with a white background.
How would I go about creating them so they can be used elsewhere, without the white background.
If I started a new project, and chose transparent background, and did the button there. When I save it as a jpeg for example, would only the button be saved/used/shown?
Is it the saving options I need here?
Any help would be appreciated, thank you.
Myles

[Lesa]

To create a graphic with a transparency (one with an alpha channel), you'll need to save it as a GIF or a PNG. Any other format will tack on the dreaded white background.

FYI, under Photoshop's Help menu, there's a wizard-like thing that will walk you through Exporting a Transparent Image.