Hi SWAV,
In order to set up your profile pic you should register an account here: https://en.gravatar.com/
Make sure you use the same e-mail address as the one that you use on your profile.
When registered you should be able to change (upload) your image, and it will automatically work in wordpress.
Note: it can take some minutes/hours to actually see the picture on your blog. Be patient.
2nd Note: Gravatar will work on any wordpress install – so even on this forum. As long as you use the same e-mail address.
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Alternatively:
You can install this plugin: http://wordpress.org/plugins/simple-local-avatars/
This will let you upload images directly to wordpress.
Your problem should be solved with this.
Have fun!
Cheers,
Stan.
Barqwithus.com
.