I've been making my templates by just saving a psd file but that brings up the problem that I might save over the template on accident.
When I go to File> I don't see a "Save as Template" option. Is it somewhere else?
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Photoshop has no inherent template format.
That being posted your operating system may have an option.
On the MacOS, you can choose File > Get Info on a file of practically any type, including .psd and tick the "Stationary Pad" option in the Finder. This will cause a copy of the file to open when chosen. Same basic operation as a template format.
I wouldn't know if this is possible on Windows. But surely it must be.