How to transfer iPhone data to iPhone 5?

I ordered the iphone 5 and i'm going to be selling my iphone 4 so before i reset it off back to factory settings and make sure everything is deleted off it for when i sell it. How do I keep all of the data and contacts and everything and sync them to my new iphone?

Do I just hit backup on itunes when i connect it to my computer? And how do i make sure all my information is erased from my iphone 4 that i'm selling?

Backup the 4
Restore from backup on the 5.
Using iTunes

Afterwards (the backup) restore the 4 for sale.

Backup on itunes (you can also backup on icloud, and go to http://www.icloud.com/...icloud.com to see what you have backed up). Be sure to wipe your phone back to factory before giving to anyone else, just to be safe I would logout of everything you have on it, facebook, icloud, etc.first.

Well, it's good to have a new iPhone 5. Considering transfer iPhone 4 data to iPhone 5, I suppose 4Videosoft iPhone Transfer Platinum can fix your problem. It's a good app which can transfer iPhone music, movies, phoots, SMS, contacts, etc from iPhone to another iPhone. After the transfer is over, you can delete everything from iPhone 4 with this software. It's very easy to find in on the website and have a free try.