Run the network setup wiard on both computers. If the wizards fail then don't worry, you just need the File sharing service installed on both computers.
In Windows, you can verify that the file sharing protocols have been installed
Start-->Settings-->Network Connections
Right click on the network adapter (either Local area connection for Ethener cable or Wireless Network Connection for laptop WiFi) and click properties. In the list box you should see "File and Printer Sharing". If not, click the install (or add) button and install service (File and printer sharing service or protocol).
on XP right click the folder you want to share and click "Sharing and Security"
enable sharing and give the folder a name and allow write permissions (Allow users to change my files). Make note of the XP computer name on the workgroup or just remember the LAN IP. If this is too confusing then download hamachi on both computers and install.
https://secure.logmein.com/products/hama...
(NON Hamachi version)
Then on the Vista open windows explorer (not internet exlporer) and in the address bar type
\\{XP Computer name or XP IP address}
ie
\\192.168.0.100
or
\\xp
Then open the SMB share you just created and trnasfer the files. YOu can mount the virtual network path in Windows Explorer by going to Tools then Map network drive. Assign a drive letter and type in the smb share name as before (\\copmuter\share) and check reconnect at logon. It should be mapped to the drive you just selected in Windows Explorer.
Hamachi version
Install and run Hamachi on both PCs. Create a new network in Hamachi on one PC and give it a name and password. On the other PC, join that network. Create SMB shares in VIsta or XP as listed above.
Now right click on the Copmuter name in Hamachi and click browse. The SMB shares will display in Windows Explorer. YOu can also mount the hamachi shares as virtual drives.
THe great thing about Hamachi is that it works over the WAN (internet) and does not require a complicated router setup for VPN passthrough and VPN server or listener.
Sharing Printers is easy. On the computer that the Printer is connected to (assumin you're not using a WiFi printer server)
Start-->Settings-->Printers and Faxes
Right click the printer and click "Sharing and Security" enable sharing and give it a name. Click OK
On the other computers, add a new printer from the same settings location and click "Network Printer". THe printer should show up.