I use a combination of software, but mainly I use the usual: Adobe Photoshop for anything graphical, and I actually use Windows Notepad a lot of times to code my PHP files in. Often times I'll use actual code editors as well though such as Notepad++, Clackers, etc.
I also never do a complete design before starting to code it. I'll start out with just setting up the layout and the colors I want to use, and then I begin coding it right away.
I appreciate the comments, and I really appreciate the fact that you can appreciate designs that aren't very typical.