For magento beginner's this tutorials guide how to create an API user in admin panel. Let's see it step by step.

You can check Video tutorial here

Step 1: Go to System > Web Services > SOAP/XML-RPC - Users to create new API user

Select SOAP/XML-RPC - Users and then click on Add New User on next page.

Step 2: Add your new user details on create user page and save it.

 Step 3: Go to System > Web Services > SOAP/XML-RPC - Roles to create new Role for your user

• Select SOAP/XML-RPC - Roles and then click on Add New Role on next page.
• Enter your role name and current admin password.
• On left tab select Role Resources
• You can either select Custom resources for which you want to give access to your new API user or you can select ALL and then save it.

Step 4: Now go back to System > Web Services > SOAP/XML-RPC - Users and select the user you have created in step 1. On next screen select User Role from left tab. Now select the role you have created in step 3.

After selecting this role click save user.

Step 5: Finally you have done your job. Just to make sure that new created role is assigned to your user, go to System > Web Services > SOAP/XML-RPC - Roles and select your role.On next screen select Role user and you can see your new created user with this role.

You can check Video tutorial here.

That's it. I hope you enjoyed this tutorial. Please share and like this tutorial.