Painting over texture and then export

Tips, Tutorials and Help
1

I might be using wrong terms
Assuming I have an object with full texture I loaded in material tab
Can I then paint over it and then export what I added as part of the image texture?

2

Subdivide the model enough so that polys are roughly the size of pixels you want to paint

Reproject (this copies textures directly into vertex colours)

Paint

Bake (this converts vertex colours back into textures)

Export

3

Thanks