In Photoshop I don't see an alpha layer in the png's I made, so I still wonder why I need to tick that box in TG for it to work.
Or whether it's wise to make the alpha layer. In the latter case, the file is just as big as the tif, so I might as well stick to that. Not really important, though, it works.
Here's my setup (I just had this white board). Never mind the title, it's not a birch branch.