Positioning Issue CSS -RESOLVED-

Hello. I am trying to position my navbar elements with an UL. Usually, I set the list up and use margins on the UL to position it. However, in this layout, when margins or padding are added to the nav UL it moves the background image for #nav. I dont understand why this is happening. Any help is much appreciated.

http://www.imikedesigns.com/RedCreekResources

Mike

Thats because padding adds to overall width and/or height if you add 5px padding then your nav becomes 40px high.
#nav {
background:url(images/menuBG.gif) no-repeat;
height:23px;
margin-top:3px;
padding:7px 7px 0;
}
Try that.

Thanks for the quick repsonse Aerospace. Now I understand.