You just wrongly calculated edgeInSets.They are not there the way you think they are. Here's my test code.It did cost me a while to put image and title in the right place.
UIButton *tmp_testBtn = [[UIButton alloc] initWithFrame:CGRectMake(50, 200, 60, 40)];
tmp_testBtn.backgroundColor = [UIColor grayColor];
[tmp_testBtn setImageEdgeInsets:UIEdgeInsetsMake(0, 0, 20, 0)];
[tmp_testBtn setImage:[UIImage imageNamed:@"France"] forState:UIControlStateNormal];
[tmp_testBtn setTitleEdgeInsets:UIEdgeInsetsMake(20, -258, 0, 0)];
[tmp_testBtn setTitle:@"testbutton" forState:UIControlStateNormal];
CGRect contentRect = [tmp_testBtn contentRectForBounds:tmp_testBtn.bounds];
NSLog(@"contenRect:%f,%f,%f,%f",contentRect.origin.x,contentRect.origin.y,contentRect.size.width,contentRect.size.height);
CGRect titleRect = [tmp_testBtn titleRectForContentRect:contentRect];
NSLog(@"titleRect:%f,%f,%f,%f",titleRect.origin.x,titleRect.origin.y,titleRect.size.width,titleRect.size.height);
CGRect imageRect = [tmp_testBtn imageRectForContentRect:contentRect];
NSLog(@"imageRect:%f,%f,%f,%f",imageRect.origin.x,imageRect.origin.y,imageRect.size.width,imageRect.size.height);
[self.view addSubview:tmp_testBtn];
[tmp_testBtn release];
By the way, I won't do like this.I prefer customize a button with a UIImageView and a UILabel added on.