1. Copy and paste the blank coin above into Photoshop.  
2. Copy and paste an image on to the coin. This will be on a seperate layer.
3. Remove the background to your image using either the eraser tool or magic wand if it a solid block of colour.
4.

Select Image from the top menu, then...

>Adjustments

>Desaturate

To remove the colour from your photo.
5.

Select Filter from the top menu, then...

>Stylize

>Emboss

Alter the height to 3 pixels.
6. In the layer window (bottom right), instead of 'Normal', select 'Overlay' for your photo layer.
7. You are now ready to put your text onto the coin.
     
8. Add text in the normal way using the 'T' text tool.
9.

Whilst still using the text tool click on the 'create warped text' button

In the style menu select 'arc' and then alter the bend to get a suitable curve.
10.

You may need to free transform the text to get it to fit properly. Press Ctrl+T

 
11. Use the magic wand tool whilst holding down 'shift' and select each letter of the text.  
12. Hide the layer with the text on by clicking on the 'eye' in the layer window.
13.

In the layer window select the background layer and select..

Edit > Copy

Edit > Paste

This copies a section of the coin metal in the shape of the writing.

  
14.

Right click on the new layer you have just made in the layer window and select 'Blending options'.

Click on the words 'Bevel and Emboss' so it is highlighted blue.
15.

This makes the writing look 3D.

You may need to alter the size of the bevel to 1 or 2 pixels (just to the right).

  
16. Click on the black coloured box in the shadow mode to select a new colour for the shadow. Ignore the colour palette that pops up. Move your mouse and click on one of the darker sections of the coin, this will select that colour for your shadow. Click OK.
 

Now you can experiment with different ideas. What about...

A medal for a friend? Best mate? Ugliest mate?

A new coin? 99p coin?

A limited edition coin for your favourite band?

Then email your design to the address here.