I created an encrypted disk image, but I can't add any files to it.

Just to be clear, if you double-click Test.sparsebundle, you get the Enter password dialogue? You then enter the pw and hit OK and then nothing happens?

And I have been putting my files in the disk image

The files go inside the disk image after it's opened. You still need to double click on it to open it. See my screenshot showing Untitled Folder inside. That's from the disk image double-clicked and opened.

I think I'm out of ideas.

I had a similar problem. Note that when you create a new disk image from the old one, the name of the diskimage that shows up in the finder sidebar is still that of the old diskimage. For example, you create a newdiskimg.dmg from the (opened) olddiskimg.dmg. Then eject both, double click on newdiskimg.dmg, enter the password, and an image called 'olddiskimg' will be mounted and show up on the finder sidebar. Same for the window that opens when you click on the image in the sidebar in order to open it. So maybe, like me, you thought you were looking at the old image, when in fact it was already the new image...? (I don't know how to change this behavior, but once I knew what was going on it didn't bother me.)

Create a new disk image. This time select read/write instead of compressed.

Scriptonite wrote:

Create a new disk image. This time select read/write instead of compressed.

Hopefully, in the almost two years since this thread was active, they've resolved the issue.

Thanks Melophage - I went back and set up the encryption and password again and changed the default "compressed" to "read/write" and can add files without a problem. Good call