1. Select songs from your Itunes Library.
2. Go to Get Info and go to Options.
3. Change the Start Time and Stop Time to the Part of the Song you wish to have as your ringtone. You are only allowed up to 30 seconds for a ringtone.
4. Right Click and go to Convert Selection to AAC.
5. Go to the Folder where you have Itunes Music Located. (X:/Document and Settings/My Music/Itunes/Itunes Music/).
6. Zip or RAR the File(s).
7. Right Click and rename the file. It is in format (.m4a) you have to rename it to (.m4r)
8. Unzip or UnRAR the File(s).
9. Read the file to Itunes. EDIT: Add it to you iTunes Library, you can draggit it.

It works, i have tried it several times for my Iphone and is currently runnning on 1.1.3

tried your method and sync but cant find the ringtone in my iphone. using 1.1.4

I'm fine with the three ringtones I have....
Bought one song, made three ringtones out of it.

Then again, there were some songs from that album that I wanted to make ringtones out of, and didn't have ringtone option.
On second thought, I might give it a shot.

http://lifehacker.com/software/how-to/crea...-way-334073.php

This way?

well mine is for Windows i forgot to specify that. i know there is a garage band way for those who have mac

Doing it the garage bang way is the best and cheapest...

Think Mark

its free way for Windows Cpus, because Garage band is only for Macs

Your way should work for Macs too, you forgot to mention that you need to drag the .m4r file into the ringtones section of itunes then sync them to the iphone, not just add to itunes. Its also much easier if you drag the 30sec clip to the desktop rather than messing around with the itunes folder.

Do It with GarageBand, Just Export a Itunes song and make it 30 Seconds and save it as a ringtone

i use the ringtone creator on http://www.brinked.com

GarageBand does a good work for this.
For PC users, I think there is an app that auto-makes the process and conversion, let me remember the name.

Step 6 and 8 of the guide are unecessary, just rename the file to .m4r and import the file to your iTunes Library

If you selected previously "manage this iPhone manually to add music and blah blah..." you can add it directly to your iPhone just dragging the file located in the Ringtones section, if yu don't have that option turned on you need to synchronize it.

Tested on iTunes 7.7 and iPhone 3G

Click to view attachment Click to view attachment

You can also download free ringtones off http://www.2downloadfreeringtones.com