I would like to create designs and images for a group that recommends and uses Photoshop Elements. I am using the Creative Cloud Apps and need information on what files Elements can open and edit, whether Elements would keep layers in files from CC and some of the funtions of Elements ( ie can a user add a transparent overlay on a photo?) I would like to communicate with someone who has experience with both Photoshop platforms... Thanks in advance!
Photoshop Elements can handle pretty much every kind of photo file that Photoshop CC can. Layers operate in exactly the same way in both programs. There may be some types of files from other CC apps that Elements cannot handle so I think you need to be more specific with your question.
The main compatibility difference is for the psd format. Elements can't edit layered psd in 16 bits. It can open them, but you'll have to choose if your keep layers or 16 bits, not both. Not a big deal.