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Wax paper is used to line baking pans to prevent your baked goodies from sticking. Although it is not necessary in baking cakes, for me it is a big help as it is easier and faster to take the cake out of the pan. Round pans are easy to trace, but it takes time to cut. This is what I do.
When you use a round pan, place it over the wax paper see if the whole thing fits the space. Remove the pan and fold the wax paper diagonally, forming a triangle. Fold several times evenly until it looks like a cone. Flip the pan upside down and place the tip of your paper cone to the center. Cut the end of the paper based on the length from the center to the edge of the pan. Open and it is ready to use. That way you won't need a pencil for tracing and don't consume too much time in cutting.