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How to Replace & Save a Color With Transparent?

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I've a simple black and white logo that I merely wish to replace a large amount of the white area with nothing aka transparent pixels. As you might have guessed; I'm not experienced using a tool like this.

What I tried doing so far is to use the magic selection tool and then cut out all the desired white areas. I put a solid colored layer underneath so I could tell I was getting the desired effect and all looked good. Then I saved the file. This is a .jpg file. After the save the file no longer retains the transparent effect. What am I doing or not doing that I need to do?

TIA - Dale

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.jpg for transparency is a big no no. Try saving as a .png as this will keep the true alpha values, but bear in mind you'll want to delete the solid colour layer underneath otherwise you'll be forced to flatten it and that would be defeating the purpose of saving for transparency.

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