Finally I gave up and did a quick google search and came across this,
http://www.shrinkpictures.com/
it will shrink them for you online, then you just right click and save the new file to your computer. Worked great for me. On step two click custom and enter "120" if you want it to come out 80x80. On step four I choose "good" quality and it came out under the 5kb limit.