I've found a great new online photo editor: PIXLR - which is very similar to Photoshop Elements!
As Gimp is to Photoshop, Pixlr is to Photoshop Elements! Yes, there is a learning curve (as with all graphics programmes - each one is a little different and you just need to get used to it) but it's well worth it. This programme is compatible with Firefox browsers, has lots of useful features like Pixlr Grabber (which grabs all or part of a web image for editing).
Pixlr has some good tutorials (above) and even its own blog - so if you find Photoshop Elements a little too expensive (or don't want to commit just yet) you might like to try this one. I had a quick tour around, and it looks like you don't even have to download the programme if you don't want to. It also has an upload picture facility and you can send pix straight to Picasa etc.