In the artboard named ‘Created Your Icons’ there are two Smart Objects. One for the favicon variants that need a transparent background and one for the favicon variants that work best with a solid background. Smart Object 1: Transparent Background Icon Smart Object 2: Solid Fill Icon You need to edit each of these two Smart Objects in order to create a complete set of favicons that work across all browsers and mobile device. To edit a Smart Object, right-click the layer of the Smart Object in the layers panel and click ‘Edit Contents’. This opens the a Smart Object. Create your favicon in the canvas and save. After saving this Smart Object, the multiple sizes in the main PSD file will automatically be rendered.