If your looking for something cheaper, try Photoshop elements ($99 or less), it has 90% of photoshops abilities, more than enought for almost everyone.
For Free there is GIMP, and there is even a version that emulated the photoshop interface resonably well, since one of gimps big problems is it has 99% of the features photoshop has, but its interface and overal way of working is very counter intuative to those who know photoshop.