a quick question on where to stay in Florianopolis, the city and take day trips to the beaches around the other coasts of the island? Or catch the bus out of Florianopolis straight away and stay on a different part? Tips would be greatly appriciated.. thanks

One day is enough in the city (if you can call it a city)
If you're on a budget, head out to somewhere like Barra da Lagoa, if you want a liveley little town with a nice stretch of beach and great seafood

i liked it better a bit north and south of Florianopolis... Porto Belo/Bombinhas to the north and Guarda D'Embau/Ferrugem/Farol to the south. About an hour either way.

Florianopolis (Floripa) is more of a starting point from which to start checking out the other beaches in The Island and there's lots. Best place to bunk in the city would be the HI Youth Hostel on Felipe Schmidt, close to the bus station. You can even walk there.
They don't tell you this, but they sell the HI card and they will make it retroactive when you check out. So if you buy the card on the last day you stay, then when they charge you, you get charged at the discounted rate.
-Ethan
Backpacking on Little Money