I would like to know how to install all these new devices while keeping favorite old programs such as Photoshop, MS Office etc. I would appreciate it very much if someone instruct me step-by-step.
In addition to reinstalling the OS as planned, you really, really need to reinstall all your applications. Office, Photoshop, etc.
Some applications might 'work', but the large complex ones create many, many entries in te registry. The new OS install will not know about them unless you reinstall.
Save all of your personal docs and images elsewhere, and reinstall the applications.