Outline the patio area with mason's string, adding an extra 1-1/2 inches all around to account for the lumber border. Dig out the patio area to 10 inches deep, checking with the level that the surface is even.
Dig out an extra 2 inches depth around the perimeter, creating a trench approximately 1-1/2 inches wide and 2 inches deep.
Cut the lumber to fit the edges of the patio, using a saw, and then insert the pieces on the 2-inch edge into the trench. Use a mallet to tap them down so the border is on ground level.
Smooth over 8 inches of CR-6 gravel onto the floor of the patio. Use a screed to even it out to level. Slightly dampen the gravel with a hose, and then use a hand tamper to compress the gravel. The gravel should compress to approximately 4 inches thick and form a firm, solid base.
Spread 5 inches of sand over the compressed gravel, and then screed, dampen and compress it in the same manner you did the gravel. The sand should compress to become 3 inches thick.
Lay the patio pavers over the top of the sand; they should be level with the top of the border. Start from one corner and work outward until all the patio is paved.
Spread approximately 1/2 inch of sand over the patio pavers. Dampen the sand, and then tamp the pavers and sand together. The pavers won't compress, but they will pack together with the sand, forming a firm surface.
Work the sand into the paver joints with a hard-bristle broom, and then sweep off the remainder to finish the backyard patio.