Answered
Intersecting shapes - cut out
Please HELP!! I'm sure there is an easy way to do this but I've been here and on google for the last 3 hours!
I am a NOOB but I can't imagine this should be hard!?

Please HELP!! I'm sure there is an easy way to do this but I've been here and on google for the last 3 hours!
I am a NOOB but I can't imagine this should be hard!?

Ha! I have my screen shots ready to go, but was waiting for the shape confirmation.
Similar to yours, Dave, plus one final step:
This would be much easier in Illustrator (and you could add the shape to your PSD file) but in Photoshop:




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