I took a look at Pixlr a few years ago, and I was impressed with it then, as it's a fully fledged online photo editing tool. I have just spent some time with it again, and am even more impressed. There are three slightly different versions - The Advanced Editor which is very much like PaintShop, with a large number of options available to really create your own images and effects. Express, which is easier, but still very efficient, and the O-matic version, which is playful and has a lot of preset functions.
If you're looking for a good program to use with your images, this has to be a real contender.