Water Color

First create a new image: Width:        300 pixels Height:      200 pixels Mode:        RGB Color Contents:   White

Create a new channel "Alpha 1".

Type some words on the middle of the image:

Right click on the "Alpha 1" channel and select Duplicate Channel. Click OK, then Select>Deselect:

Go to Filter>Blur>Gaussian Blur. Set the Radius to 4.2 pixels, click OK:

Select>Load Selection:

Choose "Alpha 1"

Select>Modify>Expand: Expand By: 4 pixels, click OK: (Depends on your text thickness)

Go to Filter>Texture>Grain:

Then Select>Deselect

Now go back to the background layer by clicking on it. Select>Load Selection:

Load the "Alpha 1" channel.

Use the paint bucket tool to fill in any color you like, that's it!!