Thank you, NiLuJe, I apologize for not being in the right thread!
I am confused because you are saying "updates" but I actually had no previous hack to update. I installed those zips in my Kindle for the first time and followed the directions carefully. I performed an "Update your Kindle" after installing the jailbreak and then added the linkss folder and installed the screen saver hack k3g. I performed another "update kindle" after saving images to my screensaver folder and each update came back as successful. The "Not Working" comes from the idea that I followed the directions yet am still seeing the default screensavers.
Thank you for your help! I noticed it's your wizardry and I am stoked to get help from the creator himself!