Here is my attempt at making my navigation into buttons. It is not really working- only part of the button is showing up. How do I make it so that the button retains its whole 112x30 size?

Code:
body {
  font-family: Veranda, Hevletica;
  line-height: 125%;
  padding: 15px;
  background: url(pawz.gif);
}


p { 
  font-size: "small"
  color: #DCDCDC;
  margin: 20px;
}

#tagline p {
  font-style: italic;
  font-family: Georgia, Times, serif;
  font-weight: bold;
  color: #00B2EE;
  border-top: 3px solid black;
  border-bottom: 3px solid black;
  padding-top: .2em;
  padding-left: .8em;
  margin: 0;
  background-color: #E6E8FA;
}

h1,h2,h3 {
  font-family: "Trebuchet MS", Hevletica, Arial;
  color: #5E2605;
}


h1 {
  font-family: "Trebuchet MS", Hevletica;
  font-size: x-large;
  color: #5E2605;
  padding-top: 2em;
  padding-bottom: .2em;
  padding-left: .4em;
  margin: 0;
  background: url(header.png) repeat-y center;
}


a {
  font-weight: bold;
  color: #FFFFFF;
}


a:link {
  color: #000000;
}

a:visited {
  color: #003F87;
}

a:hover {
  text-decoration: none;
  color: white;
  background-color: #82CFFD;
}

#navigation ul {
  margin: 0;
  padding: 0;
  list-style-type: none;
  text-align: center;
}

#navigation ul li {
  display: inline;
}

#navigation ul li a {
  text-decoration: none;
  padding: .2em 1em;
  background: url(buttons/home_button.png);
}

#navigation ul li a:hover {
  background: url(buttons/home_button_pushed.png);
}
/*
This stuff has to do with absolute positioning! Oh joy!
*/


#navigation, #bodycontent, #header, #tagline {
  position: absolute;
}

#navigation {
  top: 8.2em;
}

#bodycontent {
  left: 2em;
  top: 10em;
}

#header, #tagline, #sitebranding {
 width: 100%;
}