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1. Make a new RGB image. Use the dimensions of 88 x 31 (pixels) whenever making a link button. Most of the sites wont accept your logo if the size is not 88 x 31. For good results, remove the background layer (which will cause the button to have a transparent background).

Use the the rectangle tool to make a rectangle on a new layer. Make sure you pick the color of your choice.
2. Double-click on the layer and head on to Bevel and Emboss, and use these settings:

Depth 211
Size 2
Soften 0
3. Without finalizing the changes, head on to Stroke and use these settings:

Size 1
Position Outside
4. Don't "stuff" the whole image, for it doesnt look really good for a button. Add text to it so that other people know that it's your button. :)