Stencil

1)First you need a picture . Open the picture with the photoshop and if the picture is not black and white desaturate it (Shft + Ctrl + U).

2)Adjust the threshold. Image >> Adjustments >> Threshold. Move the slider until you get a good result and click OK. The image below is what I used but this will differ for each picture.

The resulting image maybe a little jagged (pixelated) but don't worry we will fix that.

3)Next a Gaussian Blur with a radius of around about 1. Filter >> Blur >> Gaussian Blur...

4)Now it will be blurry so we need to adjust the curves. Image >> Adjustments >> Curves.The line in the "Curves" dialogue box will appear as a diagonal. Click on this diagonal line twice and drag these two markers until your line forms an "S" shape.

Now the image should look like this :

5)Finally cut out the parts you dont want in the picture . I made a selection with the unwanted parts using Pen Tool and i made the selection black.
Final result:

I used this stencil to make a t-shirt but you can also use it to paint the image on something . Here is a picture with the t-shirt .