So I had yet until today found a free plug-in for creating .ico (windows) icon files out of photoshop. After doing some brief searching on Google I found a free photoshop plug-in that works with CS3 created by Toby Thain at Telegraphics. Thank you! Here's the link: telegraphics.com.au.  There's plenty of tutorials out there for creating the icons if you are unsure how, but it's quite simple. Enjoy.