Tiger "archive & install" questions

(Yes, I checked out the stickied "archive & install FAQ" and didn't have much luck there.)

I'm currently running 10.3.9 on a G5 and am going to install Tiger in the next couple of days, but have a few questions first. I understand there's an "archive & install" option, but I'm curious as to what that actually archives. In other words, after I archive my current system and install Tiger, will I just be able to go into the Mac HD somewhere and pull the files I want back into their "regular" spots? I'm thinking along the lines of applications currently in Applications, a folder I have on my desktop for website files, etc. Will those be accessible and movable after the install?

Thanks!
m19

Ive never actually installed a new OS on a mac before but I think it takes all of your files and puts them in a folder called "previous system." You can then go in there and get your stuff, but I would wait until somebody that has done this says what it does before you install the OS.