what do you make thumbnails on?

I just use the TubeBuddy thumbnail generator. I can make it right there on the upload page after the video has finished processing.
 
I use Photoshop but the only thing I do in Photoshop is a Text and a colorful frame (not every video - only VLOGs)

The images from my thumbnails are from the video itself or they are "real" photos I took and edited with Lightroom.
 
I usually took a still image from the video, for my last to videos I did the same and then added the title of the video to it with paint :D
 
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