I have done two floors. I did a lot of research on the net. I am not real good at cutting tiles, so I purchased a diamond cutter from Bunnings like mentioned in the above post.
It was a wet grinder and I found that I got very wet, so I got a large garbage bag and cut a head and arm holes and wore that when cutting.
You will also need a notched trowel, probably with 10mm notches
Grouting is the easy bit. Purchase a rubber grout trowel and you spread the grout like buttering bread.
http://img27.imageshack.us/img27/2507/img8032p.jpg
My first floor job. I have done a few walls previously.
http://img208.imageshack.us/img208/6871/img8030g.jpg