The video shows making a portrait shaped book. Since my layouts are all square, I decided to make mine that way. My book size is 2.5" square. You can either resize your jpeg version in PSE, or, even better, open the.TIFF file and rearrange the layout so the photos are larger. You will lose some of your layout, but the photos will not be so tiny.
The photos are centered on the paper and printed either on plain paper, cardstock, or photo paper. I used my home printer and 8.5 x 11 paper. I trimmed off excess paper. Then I followed the video instructions to make the fold and cut. I found this illustration. There are other ways to fold, but what you are aiming for is a horizontal paper with one long horizontal fold and then four evenly spaced vertical folds. The cut is made on the horizontal fold in the middle.
Fits in your purse..