This is a guide written by me through my experiences with Minilyrics.  Please let me know if anything needs updating or if you see any problems. 

Directions to create an .LRC file using minilyrics:

1. Start playing the song you want to sync lyrics to, but then hit the stop button. Right click in minilyrics and click Lyrics editor.

2. Next to Artist, Album, Title, and By, type in the Artist name, Album name, Song name, and your username, respectively.  Leave the space next to offset blank.

3. Paste text of lyrics below offset.; make sure that the lyrics are line by line in the form that you want to see them when they are sync'ed. Ex:

I've found a reason to show
A side of me you didn't know
A reason to start over new
And the reason is you
etc.

4. Using the play controls in minilyrics, hit the play button. You want to synchronize by clicking the 'Synchronize current line and move down one line button' (looks like a [1:05] with an arrow by it). IMPORTANT:

Click this button at the BEGINNING of each line. So for example, say you want to synchronize this line:

Today was gonna be the day

Click the button THE MOMENT that you hear the word 'Today' or even a little bit earlier. Another option is to use the F7 button rather than clicking the [1:05] button to synchronize the time. Use the F7 button the same way, ie press it at the BEGINNING of each line.

6. Continue this for the entire song. If you mess up you can go back by seeking backward through the song and trying the line again.

7. After the song ends, Minilyrics ask you to save the file. Save the file (preferably as "artist name" - "title of song").

8. Lastly, if you want the lyrics embedded into the tag of your mp3, you have to save it manually. Do this by right clicking minilyrics, then
Lyrics --> Save lyrics to mp3 file. Choose "Embedded ID3v2 synchronized lyrics" and click ok. If you want to have the synchronized as well as unsynchronized lyrics in the tags then select both ID3v2 options.  If you receive any messages about trying to save the lyrics again later, hit ok.  The lyrics will be tagged to your mp3 at the end of the song being played or if you play another track.

9. Thats it! If you want to upload your lyrics for everyone to download, you can do it with or without registering a username. Right click minilyrics, then go to Upload lyrics --> Upload lyrics...

Find where you saved your lyrics by directory, then choose it and click upload. You can upload more than one .lrc file at a time.

One last thing, to view lyrics like normal and get out of edit mode, just right click minilyrics and click Lyrics editor again. Any questions, feel free to ask.