Vintendo is right, there are many ways to extract a subject from its background. And he is absolutely correct in recommending that you use a layer mask. To remove a subject with semi-transparent edges like the one you’ve described, here are some methods I use:
1. Experiment with the “Extract” filter (find it under … “Filters”). Since you have a uniform background you’ll probably get good results by using the “force background” tool inside this filter (it looks like an eyedropper, use it to click on your background). You may want to use an image adjustment of some sort beforehand (like levels, curves or saturation) to create higher contrast between the hair and background.
2. Try using Select -> “Color Range…” to make a selection superior to anything you’ll be able to make with the magic wand tool. Again, use a copied layer to play around with the image’s contrast and color balance beforehand to create better separation between subject and background. You can use the eyedroppers within this tool to add and subtract colors from your selection (one has a “+” next to it, one has a “-“), and you can also play around with the selection’s tolerance on the fly. Once you’ve made your selection, invert it and you’ve got your mask.
3. Either of the previous two methods may still allow some background color to bleed through. To get rid of the bleed you can create another mask based on the edges of your first mask. Start by loading the layer mask you just made as the current selection (command-click the mask in the layers palate). Then go to Select -> “Modify” -> “Border” and pick a number appropriate for the resolution of the image you’re working with (anywhere from 4-10 pixels, usually). This will select what amounts to a thin piping around your subject. Feather this selection. If you know the color of the new background that your subject will be in front of you can place that new background on the top layer, apply the selection as a mask to this layer, then play around with transparency and blending modes until you get a result you like. If you need the subject cutout to transparency, you can use this border selection to simply add or subtract from the layer mask on your primary cutout layer.
I’m aware that this may not make a whole lot of sense as you read it, but give it a try, play around with the tools I’ve mentioned and eventually you’ll get it. If you find yourself pulling your hair out (he he) over all of this you can always spring for a cutout plugin, like the one Corel makes. These are made for problems like yours. Good luck!
(**I learned these tricks from David Blatner and Bruce Fraser’s book “Real World Photoshop.” No, I have no other relationship with these guys … I’ve worked in print production for six years and have experimented with many methods. Theirs are the best I’ve come across.)