The document describes the process for creating a basic button with different states. First, the author created the button shape and text. Then, they converted it to a button and named it. Next, they designed the "up" state and added inner bevel. Following this, they copied the up state to create the "over" state, swapping colors. Then, they copied the over state and inverted the bevel to create the "down" state, making it appear clicked. Finally, they tested the button in a web browser.