Favicons are those small icons that appear on your browser in the location bar or address bar along with the link of the website. Often, in the absence of the exact link, they help you identify on which blog or website you are. In order to create a favicon for your WordPress blog (or for that matter, any blog or website), you will need to create a file that is either 16×16 pixels or 64×64 pixels, and you will need an image editing software that can save graphic files as .ICO files. ICO is the icon extension.
For instance if you are using Photoshop you will need to install a Photoshop plugin that let’s you save your image file as .ICO file. Here’s a good one. Once you have installed the plugin you can restart Photoshop and create the graphic that you want for your favicon.ico file. You can even use your own photograph as long as it looks good in such a small size.
Once you have finished creating the graphic, save the file as “favicon.ico”. You will be able to see the .ICO option in the drop down in Photoshop’s save window where you get to select the format of the file.
Upload the file where you have hosted your currently active WordPress theme. The path must be something like /blog-path/wp-content/themes/current-theme/favicon.ico.
Then add the following line to your header.php, somewhere between <head> and </head>
<link rel="shortcut icon" href="<?php bloginfo(‘template_directory’); ?>/favicon.ico" />
and upload the file where your current theme resides. That’s it.