Starting the build today, what steps do I need to take regarding software?

Hi again. I went out last evening and purchased all the hardware for my new build.

I planned on transferring XP and all of my files to the new system.

Here's where I'm currently at:
I have an authentic copy of 98 and an XP upgrade Cd on a 40gb IDE hard drive.
I purchased a 160 SATA hard drive to use in the new system.

I'm about to start the build and just wanted to verify the proper steps to getting all the software loaded and transferred if at all possible.

I was hoping to avoid a fresh install and having to transfer my files via flash drive, if at all possible.

 

there is a very good chance that you will need to do a fresh install of xp on the new machine,

your 40gb xp is linked to you 'old' machine via all your drivers and a few other things
HAL might need repairing if your chipset is different which could lead to a very unstable system

i did a full upgrade of my hardware and transfered the hdd - nothing - luckily i had the xp install disk so i spent an hour or 2 doing a fresh install

some info

http://www.michaelstevenstech.com/moving_xp.html