You should be fine putting in text in Photoshop. PS doesn't have quite the robust text functionality that some of the other CS programs have, but it probably has all you need. I would set up the doc on one big artboard and use guides to help you determine the width of each panel. Have one doc for the front side and another for the back and you should be good to go for printing. You may be able to google a template for this, I don't have one personally. Look at places who print CD jackets, they often have templates available for download for their customers to use. Hope this helps!

Not 100% sure I understand, but you should leave the bleed lines in there during all parts of the process so that while you're designing you know where the lines are and whoever is printing your job will know where to cut.

DubzDesignz wrote:

 

...Kinda worried if the text needs to be put in with Illustrator?...

Why is there a worry about using a program better suited for a task?

DubzDesignz wrote:

 

...also if anyone has any templates with the dimensions / rulers already set up for that or know of a place where I could find one that would be great! Thanks

You can google for such templates and then find them in the format of a program suited for making a CD booklet. They will likely be in a format used by a page layout program. Photoshop is not a page layout program.

A skilled designer could use Photoshop to make this in a pinch. But a skilled designer will likely be wise enough to choose a more suitable program. Even if you do not have InDesign or QuarkXPress, you can grab the free 30-day trials to do this project.

DubzDesignz wrote:

 

Am I doing this correctly ? According to the bleed / trim lines...

What are you doing? I just see a template that should be opened in Illustrator where you can place your Photoshop graphics.