diff --git a/README.md b/README.md
index 14af03854..95e835b3a 100644
--- a/README.md
+++ b/README.md
@@ -12,8 +12,18 @@ More Information
 * GarageGames [Professional Services](http://services.garagegames.com/)
 
 Compiling Torque 3D
+If you are going to be using a PhysX template, then you will need to complete this step. Otherwise, you can go to 2a.
+1. Install the PhysX SDK version 2.8.4.6.
+  * In a web browser, go to the NVidia Support Center (http://supportcenteronline.com/ics/support/default.asp?deptID=1949)
+  * If you do not have an account, you will need to register with them to have the support staff create an account for you.
+  * If you have an account, login.
+  * On the middle of the page, on the right, click on Downloads.
+  * On the far right column, under Old downloads, click More.
+  * Download the Windows 2.8.4.6 version.
+  * Run the installer and follow the steps to install it in the default location.
+  * Depending on your operating system version, you may need to reboot after the installation.
 
-1a. Creating a New Game Project - With Toolbox
+2a. Creating a New Game Project - With Toolbox
   * Run the Torque 3D Toolbox.
   * Click New Project.
   * Choose a base template.
@@ -21,7 +31,7 @@ Compiling Torque 3D
   * Click Create to create the project.
   * When it finishes, click the Finished button.
 
-1b. Creating a New Game Project - Manually
+2b. Creating a New Game Project - Manually
   * Open the Templates directory.
   * Right-click and copy the template that you want to use.
   * Navigate to the directory where you want to develop your game.
@@ -31,7 +41,7 @@ Compiling Torque 3D
   * Rename the plugin's in the same way, replacing the template name with your game's name.
   * Inside your project directory, double-click the generateProjects.bat file.
   * It will create the solutions.
-
+ 
 3. Compiling Torque 3D
   * Navigate to engine\build\Visual Studio 2010
   * Double-click the Torque 3D.sln file.