Hi Linny, warned ya bout not gettin to many responses for this question lol
Backup means many things and depends what you backup and also what you use to backup.
Transfer wizard is basically moving what you have from one place to another which would only include files and folders and not previous settings or configurations.
Backups CAN be the exact same thing but as i said, it depends what you use to "backup" and this is where things can broaden and expand.
You can do a simple backup of your files folders pictures movies etc to the likes of dvd's and cd's or another external hard drive.
This can easily be done through windows which i believe you have done before.
The other option for backups is to make an EXACT IMAGE of your hard drive of your PC or Laptop.
This would be the best option to go for.
Certain programs will take a picture if you like of your hard drive as it is.
On the result of something going wrong the IMAGE or SNAPSHOT of your drive can be restored to the exact state it was in before something going wrong.
Now, the downside to this is that you would need to renew your image of the hard drive as you go along when you add new music, pics, films etc to your computer otherwise when restoring the image it could erase anything new that had been added since the original backup. The same for all backups really although there are some ways to retrieve that sort of stuff, maybe, but we wont go into that now :)
This IMAGE or SNAPSHOT is great because all programs and such will be as you had left them originally so no need to download and install everything again, cool eh ;)
MAYBE someone might do a tut on how to do a drive snapshot, I aint :)
Someone that loves acronis maybe ;)
I've done one myself before with Hirens boot cd which came out very well.
Its a good idea to do this and save it both to a seperate partition you can create yourself on your hard drive and on an external incase a fault with your pc's internal hard drive occurs.
I hope this explains things a little better for ya
Any questions ask away an someone else can answer them lol