One question I get asked a lot, especially since I started releasing free PSD files, is how to save an icon file, or an ICO file in Photoshop. Here’s a solution!If you’ve ever taken a look at the options within the Save dialogue box, you might have noticed that there’s no way to do so.When you arrive on their site, at the bottom, find the operating system you’re working with, and download the DMG or Zip file onto your computer.Once it’s downloaded, you’ll find three files. Two of which, we don’t need to pay attention to. We’re looking for the ICOFormat plugin file. This needs to go into it’s proper location within Photoshop’s application folder.Go ahead and navigate to Photoshop’s folder. On a Mac, it’ll be in your Applications folder, on a PC, it should be in your Program Files. When there, locate and enter your Plug–Ins folder, then hop into File Formats. This is where you want to place our new Plug-in.
The next time you restart Photoshop, if your file meets the requirements, you’ll be able to save as an icon file. In order for the icon options to appear, your file must be an 8–bit file (Image > Mode), which is no larger than 256×256. Now, when you go to Save As, the option to save as an ICO file is available to you.