Step 1: View the image at 100%. Set the radius between 1 and 3. Set the amount between 300 and 500. Set the threshold at 0.
This will look like crap. But you’re going to fix it in a minute, so don’t worry.
Slide the radius level up until you start to see nasty halos forming, then back it off a bit. It’s OK if it looks a little bit harsh at this point.
Step 2: Change the image view to 50%. Adjust the amount until it looks grainy and oversharpened, than back it down a little.
Since web images need a fairly high amount of sharpening (in the 300 to 500 range), our example here isn’t quite as dramatic as we’d like. We made the “after” image a little soft so you can see what’s going on at this stage.
Step 3: Move the threshold slider up until the low-contrast areas look smooth, but you can still see fine details.
This is a pretty subtle adjustment; we zoomed in and overdid it in the example so you can see the difference.
(Reference Link: http://photojojo.com/content/tutorials/photoshop-sharpening/)