You can also save Microsoft Office files directly to an Office Live Workspace from Office applications as you create them. The first step is to download the Office Live Update. After installing this update, you will have new options available in your Microsoft Office applications.
If you are using Microsoft Office version 2003 or XP and you install the Office Live Update, your office programs will have three new buttons on the toolbar. If you are using Microsoft Office 2007, the new buttons will appear when you click the Office button.

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The first button is Go to Office Live. (This button does not appear in Office 2007.) If you click this button, and have an active internet connection, your web browser will open directly to your Office Live Workspace. If you are not yet logged in with your Windows Live ID, you will be asked for your ID and password.
The second button is the Open button. When you click this button, you will see a drop down menu allowing you to select a workspace. A File Open dialog box will appear, and you can open a file of the same type (such as a document if you are in Word, or a spreadsheet if you are in Excel). The file will open from the Office Live Workspace directly into the Office program you are using.
The third button is Save. This button allows you to save a file directly to a workspace. When you click it, the drop down menu allows you to select the workspace to which you want to save the file. Give the file a name and click Save, just as you would typically save a document.