Upgrading from 1.0.6

[les1949]

I would like to upgrade the operating system on my Dell Inspiron 1501 laptop to 2.6 if possible and need some help. I think that this computer meets the minimum requirements but from what I have read I can't upgrade from this older version 1.0.6. So I think that I would download the ISO and boot from the flash drive and install a replacement version. That sounds easy enough but I am just a bit nervous and could use some advise. I take for granted that all added programs and files will be lost during this so I will save all I can and reinstall later.

Advise would be appreciated.
Thanks,
Les