Where is the modified folder?

Question

I cannot figure out where my modified photos go in iphoto. I edit in Adobe Photoshop Elements, save with new names and they are SUPPOSED to be in a Modified folder in my library.
I know this because If I reopen in Adobe PE and look at file info, I see the path as users/myname/pictures/iphoto library/modified/2009/foldername.
BUT if I go to iPhoto I do not see any file folder called "Modified". I can find the original folder containing the original photos, but no sign of the edited/modified photos. nor do I see any evidence of any Modified folders anywhere
HELP! I'm about ready to quit using iPhoto. it is NOT an intuitive program at all.
HELP!.

Answer 1

Here's some info on using PSE as the editor of choice from within iPhoto. This does not apply to editing RAW files.
Using Photoshop (or Photoshop Elements) as Your Editor of Choice in iPhoto.
1 - select Photoshop as your editor of choice in iPhoto's General Preference Section's under the "Edit photo:" menu.
2 - double click on the thumbnail in iPhoto to open it in Photoshop. When you're finished editing click on the Save button. If you immediately get the JPEG Options window make your selection (Baseline standard seems to be the most compatible jpeg format) and click on the OK button. Your done.
3 - however, if you get the navigation window that indicates that PS wants to save it as a PS formatted file. You'll need to either select JPEG from the menu and save (top image) or click on the desktop in the Navigation window (bottom image) and save it to the desktop for importing as a new photo.
This method will let iPhoto know that the photo has been editied and will update the thumbnail file to reflect the edit..
NOTE: With Photoshop Elements 6 the Saving File preferences should be configured: "On First Save: Save Over Current File". Also I suggest the Maximize PSD File Compatabilty be set to Always.
If you want to use both iPhoto's editing mode and PS without having to go back and forth to the Preference pane, once you've selected PS as your editor of choice, reset the Preferences back to "Open in main window". That will let you either edit in iPhoto (double click on the thumbnail) or in PS (Control-click on the thumbnail and seledt "Edit in external editor" in the Contextual menu). This way you get the best of both worlds
2 - double click on the thumbnail in iPhoto to open it in Photoshop. When you're finished editing click on the Save button. If you immediately get the JPEG Options window make your selection (Baseline standard seems to be the most compatible jpeg format) and click on the OK button. Your done.
3 - however, if you get the navigation window that indicates that PS wants to save it as a PS formatted file. You'll need to either select JPEG from the menu and save (top image) or click on the desktop in the Navigation window (bottom image) and save it to the desktop for importing as a new photo.
This method will let iPhoto know that the photo has been editied and will update the thumbnail file to reflect the edit..
TIP: For insurance against the iPhoto database corruption that many users have experienced I recommend making a backup copy of the Library6.iPhoto (iPhoto.Library for iPhoto 5 and earlier versions) database file and keep it current. If problems crop up where iPhoto suddenly can't see any photos or thinks there are no photos in the library, replacing the working Library6.iPhoto file with the backup will often get the library back. By keeping it current I mean backup after each import and/or any serious editing or work on books, slideshows, calendars, cards, etc. That insures that if a problem pops up and you do need to replace the database file, you'll retain all those efforts. It doesn't take long to make the backup and it's good insurance.
I've created an Automator workflow application (requires Tiger or later), iPhoto dB File Backup, that will copy the selected Library6.iPhoto file from your iPhoto Library folder to the Pictures folder, replacing any previous version of it. There are versions that are compatible with iPhoto 5, 6, 7 and 8 libraries and Tiger and Leopard. Just put the application in the Dock and click on it whenever you want to backup the dB file. iPhoto does not have to be closed to run the application, just idle. You can download it at Toad's Cellar. Be sure to read the Read Me pdf file.
NOTE: iPhoto 8's new option in the library rebuild pane, "Rebuild the iPhoto Library Database from automatic backup" may make this tip obsolete. We'll know when users have occasion to use it and see if that's the case.