Blurry Glass Effect

1. Open a photo

First get a stock photo, i've got a stock of some neat looking fruit ( from here )

Open the fruit picture and resize it to a much smaller size ( I've used 28% of the original size )

2. Duplicate layer

Duplicate the Background Layer and make a selection consuming the whole width but only about 40% of the height

Now apply Filter > Blur > Gaussion Blur with a radius of 5.0

3. Details

Create a new layer and fill the same selection with a light color ( #E9E7E3 )

Now lower the Layer Fill to 15%

Apply Filter > Blur > Gaussion Blur with a radius of 0.5 on the "Light Glass Layer"

Now apply these layer styles:

Outer Glow:

Stroke:

Finished:

Variation with the Glass Filter:

Click to enlarge

PSD can be found here.