Wow, step 7 already? You're almost at the end of knitting your first sock! This step is all about shaping the gusset. The gusset is worked by knitting in the round, continue working the magic loop.
Step 7: Shaping the gusset step-by-step
To start: Knit 1 round.
Decreasing time. Now you are going to decrease only the back stitches reducing down to same amount of stitches as top of sock.
For round 1. Knit across the back of the sock on front needle until there are 3 sts remaining, K2 tog, K1, pull core through, knit across the sock top on top needle, pull core through, knit 1 st, SSK, therefore decreasing to form gusset working up the foot with a k2 tog and when working down the foot with SSK decrease.
For round 2. Knit another round without shaping.
Keep going! Continue in this way working a decrease row every other round until there are the same amount of stitches as for the leg of the sock (60 stitches).