Okay, here is how you take care of those tar.gz files
1. Copy a tar.gz file to a directory on your system. I like to keep my downloaded tar.gz file in /usr/local/src
2. Run the following command at the command line in the directory where your tar.gz files are:
tar -xvzf <filename>
3. This should created a new directory in your /usr/local/src directory with the name of your tar.gz file without the tar.gz ending.
4. cd into the new directory the tar.gz file created and read the README file to get info on how to deal with the new app or file you installled!