STEP 1: Need Adjustment?
Check to see if your chain needs to be adjusted. As a rule of thumb, you want the chain to be tight if you place two fingers on the swingarm directly behind the chain guide (see step 5). If your chain is digging into your swingarm, shift lever or plastic, chances are you should adjust it.

STEP 2: Loosen Axle Nut
Using a large adjustable wrench (or a large combo if you have one), loosen the nut on the axle so that the wheel is free to move.

STEP 3: Adjuster Nuts
Loosen the lock nut on the chain adjusters. Start to tighten the chain by backing out the adjuster stems. Try to rotate the same amount on both sides.

STEP 4: What is the right tension?
One way to adjust the chain to the correct tension is to throw a 8 or 10mm wrench into one of the sprocket teeth and tighten the chain down hard.

STEP 5: What is the right tension?
Another way to get the correct tension is to use the old two finger method like you see here. Either way you set the tension, is fine. Remember this: do not make it so tight that when the suspension is compressed there is a chance the chain will snap..and don't make it so loose that there is a chance it will pop, or dig into your plastic, swingarm and shift lever.

STEP 6: Alignment
The alignment of the chain is very important. If your chain is misaligned, it will wear quicker and affect the transfer of power. The little notches on your swingarm are ok for a quick check, but to get alignment right, you need a more accurate approach. You basically need to make sure that the left side is adjusted the same distance as the right side.

STEP 7: Alignment Part 2
You can check the alignment three ways after you get it close with the swingarm notches: By sight, with a tape measure, or with a chain alignment tool.
Aligning by sight is ok if you have no other tools. You can use a tape measure or a chain alignment tool (available at Motion Pro and some other tool manufactures) to make sure each side is the same distance from the swingarm pivot to the rear axle.

STEP 8: Tighten er Up
Once the chain is aligned correctly and your adjustment is set, you can tighten the lock nuts on the adjuster stem and tighten up the axle nut. When you tighten the axle nut though, make sure that you push the rear wheel against the stops on the adjuster. Also, it is a good idea to stick a cotter pin through the axle nut to ensure that it cannot come off.