Water effects

I have a picture and I want to make it look liek there is a puddle of water under it. I got a reflection under the picture, and I made the reflection squashed (can't think of another word), but its about 1/3 the original size. How do I make it look like a reflection in water.

If the reflection is on a seperate layer, use the marquee tool to select it. Then go to "filter - distort" and mess around with the options in there like ripple and wave. I think ripple is what I used for the "[ci5ic]" pic in my sig.