In RelativeLayout all views are positioned relatively to each other. This means that you can create an EditText element and then create a button and say that you want this button to be positioned to left of the EditText. View can be positioned relatively to its sibling elements or to its parent layout.
Many say that RelativeLayout is the hardest to master, but I honesty don't think so at all. RelativeLayout is very flexible and I am sure that if you spend some time just playing around with it, you'll find it very easy to use as well ;)