Not sure which program you use, but here's a custom tutorial for Photoshop CS4:
1. Create your text layer on top of the background (duh?).
2. Duplicate the layer, mirror it, create a new layer group for the reflection layer and position the reflection.
3. Create a layer mask for the reflection layer group. The reason you're using a mask for the group, not the reflection layer is that the outline effect on the text uses layer transparency and will get messed up by a layer mask.
4. Use a black to white gradient for the transparency mask, tune for the desired reflection effect.
5. Convert the reflection layer to a smart object and apply a gaussian blur filter.
6. Create a transparency mask for the smart filter to make the blur heavier the deeper you go.
And done. Here's the final
.psd.