Formatting Paragraph Text
In Photoshop you can define the formatting aspects of an area for multiple line of text. The lines will break automatically and the text will wrap to fill the space you allocate. Photoshop can handle text and can really hold its own.
For justification, indents, and paragraph spacing. You can even hyphenate long words for more even looking lines in the Paragraph.
To Create paragraph text choose the text tool and the font attributes from the character palette. The text wraps to the next line when it reaches the edge of the box. Or cut and paste text from another source.
To format paragraph text you can format the individual characters in the paragraph in the same way using the character palette. In addition use the paragraph palette formatting tools for the paragraph text.
To indent first lines of paragraph choose the text tool and highlight all the text. Click paragraph tab to open the paragraph palette. Enter a figure into the indent first line text field, say 25 points and see how the lines are indented.
To add space between paragraphs highlight the text and open the Paragraph palette. Enter a setting of 5 points in the space after paragraph
To wrap up the image choose a nice and interesting font such as Papyrus.
Photoshop has its own spell check. Highlight the text. Choose edit > check spelling. Continue checking every word the spell checker identifies.