OK when you put line on a spnning reel, do you hold tension on the spool or not? My buddy said you are just supposed to real it without any tension at all.

I go out side and lay the line on the grass ,lay the spool down and wind the line up with the rod tip on the grass .
If more tension is needed move to the side to make a bow in the line ( line not in a straight line with you)
Sounds strange but it works and free.
I like to put the line in tension like I was playing a small fish .

I put tension on the line, also don't forgrt you want the line coming off the filler spool the same direction the it is going on the reel to prevent unnecessary twisting.

I agree with jerseyhunter. Also you'll want to check for line twist after you start to make sure you have the filler spool turned the right way. If you have line twist just turn the filler spool over.