cgratti said:
Illustrator...
Save as .gif
.gif?
MADNESS!
You only use gif if you want a web graphic, its crap otherwise.
The program you want to use is illustrator (mainly because Freehand is about to be deep-sixed, rather than any big differences between them)
And you save your artwork as an .eps. Then it can be imported into any other page layout program like indesign or quark and it will float transparently over any text or image or background, or it can even be imported into photoshop and scaled to whatever size you want rather than using photoshop's painful vector tools to actually create art.
Once it's in photoshop you can dress it up with glows and drop shadows and other spack like that if you really want. But the best thing about eps is wherever you use it you get no undesirable white backgrounds or whatever to ruin your art, just the logo you made.
And the other best thing about eps is that it remains vector art i.e you can enlarge it to the size of a baseball pitch and the edges will remain smooth and tidy (unlike using any raster format like gif, jpg, tif, etc)
I won't confuse you with an in-depth discussion of RGB vs CMYK or Process vs Spot colours at this point, as your brain would explode.
I'll just say - Remember this basic generalised rule, if it's intended for most press or printed type work like business cards, letterheads or brochures, you probably want CMYK process colours, if its for Web use RGB colours.