Hi Becky, and welcome to the forum.
There are a few steps to making this, so I hope I don't forget anything. I don't know what version of Photoshop you are using, but I am hoping CC. There is only one step that needs CC though. Refer to the layers image below as you follow the steps.
- Use the Rounded Rectangle shape tool to make the initial rectangle. I always have to guess the radius (in the Options bar) and if I get it wrong, I delete and try again. (If someone can tell me how to do that on the fly, I'd be grateful.) Make the colour grey.
- Use Free Transform (FT) on this layer, and click on Warp in the Options bar, and choose Bulge from the drop down list on the left of the Options bar. You'll see a handle center top, that you can drag to get the required bulge.
- Copy this layer (Ctrl j or Cmd j). Make the colour black and name it 'Outer black ring'. Use FT to make this layer smaller so you see the required thickness of the grey outer ring. Tip: hold the Alt (Opt) key while dragging in a center side, followed by center top handle. You need to do these separately, and judge the thickness.
- Ctrl (Cmd) click the Outer black ring layer to load it as a selection, and add a layer mask to the Outer grey ring layer. Note: you only need this step if you intend using layer styles on this layer.
- Copy the Outer black ring layer, and call it 'Inner Rounded Rectangle'. Make the colour red (so you can see what you are doing) and use FT again to make it smaller so you are left with the outer back ring thickness. Reduce this layer's Fill to zero (it will no longer be visible).
- Now the clever bit . Double click the layer to open Layer Styles, and give this layer a Bevel & Emboss. (Note: with Fill set to zero, you will see the effect, but not the layer, which is what we want. Set the 'Direction' to Down. Inner Bevel, size about 6. This will produce the recessed look, so adjust the sliders until it looks right.
- Now the text, which we need to use two layers for. Lay down your text. Use the Character panel and increase the character tracking to space out the letters (it has a VA icon). Make the text white.
- Copy the Type layer, and call it White Text.
- Go back to the original Type layer. Change the colour to Black. Right click and chose Rasterize. Ctrl click to load the selection, and go Edit > Stroke with Outside selected. You need a stroke value as high as you can get while still seeing the shape of the letters.
- Now add a Bevel & Emboss to this layer. I've used Inner Bevel in the example, but try Outer Bevel as well. You'll need to adjust Direction to put the highlights on the right side, but you can keep going back and adjusting till right.
Ask if you get stuck. Good luck, and show us what you do.
That's great, thank you very much!