Thanks to Mary's comment on yesterday's post I've figured out how to add photos to my WIP button in the header. It really was simple to do as you follow the same process as putting photos in a blog post. I guess yesterday I didn't realize you could do this as it just listed text when I made the page.
Still no luck on reducing the size of the header on my blog. I tried searching under the blogger help section but no luck there. Maybe it is time to expand my search out of blogger. Oh, I do love a challenge!
UPDATE! I expanded my search and learned a bit more about writing my own html code to change the size of my header. It worked! Yea me!