You can do that in PS too just control click the layer--modify-expand by how many px you want--add new layer--floodfill white--move to back layer
I never use stroke in layer styles...messes me up with drop shadows lol
In PS, make sure you rasterize the type first then add a stroke.
No it doesn't work for me. When I try, I get a message that says my type needs to be rasterized first.