Cool Engraved Text Effect

Start by typing your text.

Double click the layer to open layer style window. Apply layer style with the settings shown.

Ctrl+Click the layer thumbnail to get the selection.

From select menu apply modify>>contract.

Press Ctrl+Alt+D to feather the selection.

Create a new layer and fill the selection with black color.

Double click the layer to open layer style window. Apply layer style with the settings shown.

Ctrl+Click the main text layer layer thumbnail to get the selection.

Press Q to enable quick mask.

From filter menu select sketch>>water paper. Apply settings as shown.

From filter menu select sketch>>stamp.

Press Q to disable quick mask. Create a new layer and fill it with white color.

Double click the layer to open layer style window. Apply layer style with the settings shown.

From filter menu select layer style>>create layers.

Merge the layers. Double click the merged layer to open layer style window. Apply layer style with the settings shown.

Change the layer mode to linear burn.

Fill the background with black color.