I just posted my Photoshop Ballcap Template. It's simple and should be a good example of how I do things. Keep in mind that I use "Photoshop Elements 2.0", which is very old and doesnt have all the capabilites of full Photoshop (I can't make folders and there's innate masking features).
OOTP Baseball Cap Template by ~Gern44 on deviantART