
1. Download the
ICO (Windows Icon) plugin, and extract it to your \Plug-Ins\File Formats directory.
2. Design your 16×16 icon (or resize something larger), and select “save as”.
3. Select the ICO format, and save your file as favicon.ico.
4. Upload your new favicon.ico to the root directory of your website.
5. Add this code inside the <head></head> section of your pages:
<link rel="shortcut icon" href="http://www.yourdomain.com/favicon.ico" />
Not only is this a nicer method than using those online favicon creators, but it also works for making favicons with transparent backgrounds.