I first posted this tutorial @ ConsoleSpot. Then I saw the thread where boogschd asked for help on jailbreaking his iPod Touch 1st gen and thought that, EP don't has JB tutorial.
EP nao has Jailbreak tutorial...

:D

Here wee go...

What you will need:
• iPhone/iPod Touch/iPad
• Firmware 3.1.2/3.1.3 installed, or 3.2 if you're doing this on the iPad
• iTunes 9 or later

If you're running a tethered jailbreak, you need to restore your device.
Read more about restoring here.


Important! This jailbreak is not a carrier unlock!

Download Spirit by clicking here.
Spirit is also available from spiritjb.com, but you can only retrieve the latest version, 1.1, there.

Connect your iDevice to your computer via USB cable.
iTunes is likely to open. If that's the case, just close it. It will just get in the way.

Start off by changing the compatibility mode on the programs.
Spirit 1.0 needs Windows 98/Windows ME mode, while Spirit 1.1 should have Windows 95.


You're all set now. Prepare yourself mentally, open Spirit 1.0 and hit jailbreak.


Your iPod will reboot and once the whole process is complete, congratulations, your device is now fully jailbroken.
You should have Cydia on your springboard!

FAQ/Troubleshooting

Q: Spirit said my device was successfully jailbroken, though I didn't get Cydia.
A: Try running Spirit again. As a last restort; restore your device and try with Spirit 1.1 instead.

Q: I got Failed to jailbreak (error code: c0000005) message.
A: Right click spirit, and click "Run as Administrator". <Windows Vista/Windows 7 only>

Q: My device has been acting weirdly after the jailbreak.
A: If you were running a tethered jailbreak and ran Spirit without restoring, you'll be forced to restore at this point to regain your jailbroken features.

Q: My device previously had a tethered jailbreak on it. What makes this one worth the hassle?
A: Basically, if you turn off your device with a tethered jailbreak, you have no option but than to re-jailbreak it using a computer. With this untethered jailbreak, you can reboot as much as you want to. A tethered jailbreak can be compared to HEN on PSP, except that you can always re-jailbreak a tethered device, without having to go through the pain of ChickHEN.

Keep in mind that most problems can be solved by restoring your device.