Hi Tomi, and welcome to this thread.
The most basic answer to your question about the steps to salvation is found in the Fourth Article of Faith:
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We believe that the first principles and ordinances of the Gospel are: first, Faith in the Lord Jesus Christ; second, Repentance; third, Baptism by immersion for the remission of sins; fourth, Laying on of hands for the gift of the Holy Ghost.
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Any of those steps can be studied in more detail. If you are interested, here is the link to the Articles of Faith, with links to more on all of the concepts included:
http://scriptures.lds.org/a_of_f/1/1-13#1
Here is a more detailed explanation of the Plan of Salvation (start with this page and follow the links from there):
http://mormon.org/mormonorg/eng/basi...venly-father#d
I'll try to summarize also, but would recommend reading the above.
God is the father of our spirits and wants us to return to him. Some things were necessary for us to continue our progression. We needed to come to earth to get physical bodies, as well as to learn and to be tested and find out what choices we would make when we are outside the presence of God, without the memory of our previous existance. Some spirits for one reason or another do not need to be tested, and may only be here to get a body, or to teach the rest of us. They might die before reaching the age of accountability, or may have a disability that prevents them from being accountable in this life. The rest of us need to learn about God and about Jesus Christ, and about faith, and choices and consequences, and accountablity, among other things.
We lived with God, and the Earth was created for us to have the opportunity to gain bodies, like His, and experience that would help us to become more like Him. We chose to come to Earth for these purposes. Adam and Eve were placed on the Earth first, in the Garden of Eden. They had physical bodies, but were immortal. They were commanded not to eat the forbidden fruit, and also commanded to multiply and replenish the earth. They couldn't have children in their immortal state, however, and couldn't experience opposition in the garden. They chose to eat the fruit so that they could keep the commandment and we could all come to earth and be mortal, in accordance with the plan. Yes, it seems like Satan was used to move things along. Satan must not have quite understood the whole plan, or maybe he was anxious to get things moving too. I don't completely understand.
We make some good choices and some bad choices in this life. Because we are not capable of redeeming ourselves, Jesus was sent to attone for our sins. We owe Him everything for what He did for us, and accepting His gift is essential if we are to return to God's presence.
We are also required to do what we are able to do for ourselves. When we make bad choices we need to repent:
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To sincerely repent, you must:
Confess the sin to both God and anyone who has been harmed by your sin.
Ask forgiveness from God and from anyone you have harmed.
When possible, repair the damage you have done.
Forsake your sins.
Strive to keep the commandments.
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When we die, our spirits go to the spirit world, until we are ressurected and again are reunited with our physical bodies, which will be perfected and immortal. Those who didn't learn about the atonement on Earth will have the opportunity to learn in the spirit world.
While everyone will be ressurected and receive immortal bodies, eternal life is not a given and we must be obedient in order to receive it. We will each be judged, and we will remember all of the things that we have done. If we have repented, the Lord will not remember those things and they will not count against us. My feeling, persnally, about this process is that He will sit with us and discuss how we have lived our lives, and have us account for what we have done and, more importantly, who we have become. He will then help us to choose where we belong for the rest of eternity, whether we are able to be in the presence of God and continue on to become like Him, or if we would be most comfortable at another level, where we will still be happy, but won't have the same opportunity for eternal progression.
Everything that I have said is my understanding and I believe that it is true. It may be an oversimplification though, and I am subject to errors, so I do urge you to go to the source, do your own research, and most importantly, pray and ask God what is true regarding His plan. He will answer you, and that is much more important than anything that I could say or do.