I am trying to have a different top banner per category.  Currently my main banner is configured in basic settings.  On edit category I am uploading a banner under "header background image" and it says Theme Options > Backgrounds > Enable Header Area Background must be enabled but I do not have this option there.  Am I missing something?

I am, it does not replace the default header even though its the same size etc.  

Is there a way to have my homepage have my default banner? In other words I want the landing page to be what it is.  Then when you click on a post the banner would change depending on the category.  Does that make sense?

Edit: I changed my site logo to a header background.  That seems to enable me to accomplish what I want however I cannot seem to get the site to display the full banner which is 1250x200 (the same as the site logo)  Previously you recommended I add #mgm-branding {padding:0!important} which I removed and that did help.  Adding to the padding does nothing.  It looks like I am missing something.  

Thanks

The problem is the logo(s) are covered by the Navigation Background bar.  I have it set up exactly the way you suggest.  No site logo and a header background.  Even with the .category-ill-tempered-gamers #mgm-branding {padding: 40px 0;} you can see the logo is being cut off at the bottom.  It's almost there, I can have custom banners per category, they are just being cut off.  

This works in the advanced tab:

#mgm-branding {padding: 77px 0!important;}

I wanted it to be global, the category setting would not work for me but this works better.  Thanks!