This is a quick and painless method to make a transparent gif. First open a new image file, using the same background as your web page. Make sure the background color of your image is selected as the background color in the Colors palette.

Go to the Colors Menu and select Set Palette Transparency.

Set the preferences for the Set Palette Transparency as follows:

There you have it! Now just choose Save As from the File Menu and save your image as a CompuServe Graphics Interchange (*.gif) file. (Don't forget to give your image a name!) Click Save to save the file.