Joining the Clothes to My Character

To add each of the peices of clothing to your character model you need to go through these steps.

Firstly select all of the parts of the character you want to Physique so for my character its the Head, Arms, Top, Trousers and Shoes.

Once they are all selected click the modifier panel on the right of the screen and scroll down until you reach the "Physique" modifier.
Click on the "Physique" modifier and it will add to all of your selections as shown below for the plane object which is the Top item.
A new object appears below the list of modifiers you have selected for the item, this new object appears as a person with a red mark in the middle of them.

This is the "Attach to node" button, when you click this button nothing happens until you press the "H" key on your keyboard and you can then pick an object from the list of all of your objects. Select the "Bip01" option to select the whole biped and it will attach each individual item to the joints that they are nearest to, aslong as they are nearly connected when modeled.
Select "Pick" at the bottom of the pick option and it will take you to the "Physique Initialization" window, the last part you need to do from here is click "Initialize" and the items will be attached to the Biped.
Now that all of the items are connected to the Biped its time to start changing the Envelopes on each of the items of clothing so that when the character is moved there is no pinching on the clothes or sticking to the verteces.

To change the envelopes you have to click on the "+" sign on the physique modifier in the modifier panel and select "Envelopes".
Then its a case of selecting each bone on the biped around the objects so that you can change the Inner and Outer Envelopes to select all of the object you have created.

The way in which you know all of the object is selected is by the little red "+" signs on the screen. Check all around the object to make sure all of the areas are red so that you know you have selected the whole object so there is no pulling or pinching.
Do this for all of the clothing objects you have created to make sure that the model doesnt pull when animating, test the movement by clicking the bones and moving them seeing if anything looks out of the ordinary.

If anything does stay still or pinchs edit the envelopes until you are satisfied with the results.
This is what all of the envelopes looks like for my character in front and side views of the model.
I noticed that the legs envelopes were far too wide so I edited them to make sure the size was right.
Next step is to finish the environment and begin animating the character.