How do I update from iphoto 8.1.2 to a version that include photostream?

I want to use photostream on my iphoto so that I can send my pictures from the phone to the laptop. It says that I have to update iphoto under the icloud settings. I have the OS X, version 10.9.4. My iphoto is iPhoto '09 version 8.1.2. I tried the update button but it says to purchase the iLife '11. Is this the only way to update. Is there a separate update for just iPhoto? And I read some problems people were having accessing their pictures with the new iphoto. I have pictures stored from 2006 and I don't want to lose them. Any advice on what the best way to update would be appreciated.