I have an iMac with OS X 10.63.   Download photos?

The bridge downloads my photos and so does iphoto.  If the photos aren't in a folder in the bridge I can't find them to place in PSE.  I am new to mac and elements 8.  I am not sure how to work PSE but have high hopes to learn.
If I buy PSE 8 and want to upgrade to the new CS 5 is that possible?
Second question - how do I work with layers?  Any suggestions?
THanks,
Liza

Go into iPhoto preferences, select the "General" preference, and tell iPhoto what you want to do when a camera is connected to the Mac.  Note the bottom item on the below picture.  I have it set so that when I connect a camera, iPhoto automatically launches.  I then import the pictures into iPhoto. 
Note the third from the bottom item on that picture.  It says that I will edit all pictures in Photoshop Elements.  When I double-click on a picture, or select it and click on "edit", iPhoto automatically switches to Elements, and the picture opens in Elements.  I then edit the picture in Elements.  When I am done editing it, I save it - and Elements automatically saves it back into iPhoto.
So my workflow is, import all camera pictures into iPhoto, and then edit them in Elements.  But iPhoto - not Elements or the Catalog - is my main picture storage area.
I've attached a second picture that shows how you can create a new layer.  Just go to the Layer menu, and select "New".

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