Below is a description of the easiest way I know of to wrap text around an image in Wordpress.
Step 1: When you are in your post editor, upload a photo
Step 2: If you are in Wordpress 2.5, hit the ‘HTML’ button
Step 3: After you upload the photo you will see the image file information when you are in the HTML screen.
Step 4: Add the following code inside this image description: style=”border: 0pt none; float:left; padding-right:10px; padding-bottom:10px”
For example, the HTML code for the image I pasted above looks this this after I add the code. This automatically wraps the text to the right of the image. If you change the float to float:right, you can add text to the left of the image.
<a href=”http://www.wordpressadvice.com/wp-content/uploads/2008/06/fujilake.jpg”>
<img class=”alignnone size-medium wp-image-46″ style=“border: 0pt none; float:left; padding-right:10px; padding-bottom:10px “ title=”fujilake” src=”http://www.wordpressadvice.com/wp-content/uploads/2008/06/fujilake-
300×200.jpg” alt=”" width=”300″ height=”200″ /></a>
Step 5: After you cut and paste, change the inverted commas by deleting them and then manually putting them in again. Sometimes when you cut and paste wordpress doesn’t like it and will only accept the inverted commas which are vertical.

Thank you