Transfer files and Programs from WinXP to Win7

[Digital Cro-Magnon]

Does anyone know a way to transfer programs and user files from a laoptop with Windows XP Pro (32 bit) to another new laptop running Windows 7 Ultimate (64bit)?

I know MS Easy Transfer will not copy the applications, such as Ofiice, etc. I also wonder if going to Win 7 Ultimate (32bit) might be a better choice due to compatibility issues going from 32bit to a 64bit OS.

Any suggestions would be helpful.

Thanks