"how to set it up"
To make stagger you put the bigger tire on the outside. You do that front and back.
If the tires are the same size and kind then you can make one bigger by putting it on a narrower rim. Squeezing the center of the tire together will make it taller or bigger.
The opposite goes if you put the tire on a wider rim. spreading the center of the tire apart with a wider rim will make it wider and shorter.
To find your stagger you measure around the big tire and subtract the measurement about the small tire from it. Rough guess is to have an inch of stagger difference in the front and and 1.25 in the back. But those numbers are by no means a guide or a starting point. Maybe close that's all.
Your kart is designed to have stagger in it in the front and in the back. The stagger up front helps the chassis work as designed and the stagger in the back helps you turn.
You can also search and read on here about how to grow and shrink tires. That means if you have two identical tires and two identical rims to start with, you can grow one tire bigger and shrink the other smaller.
Also air pressure makes tires bigger and smaller. If you have 7 pounds of air in your right rear tire and 6 in the left, even if they were exactly the same to start with one pound of air more will make the right rear tire bigger.
How much stagger do you need? You need enough or the right amount to match up with everything else that needs done.
ps... Al will send you good information but a lot of it will be hard to understand. For now measure around the outside of your tires, try doing different things to them and measuring to see what difference if any you get.
It's common to run the exact same kind and size tire on the right side front and back. You then put different tires on the inside front and back to get your stagger. Often if not usually you put a different kind of tire which is naturally smaller on the inside and work from there. To fine tune stagger racers will use air pressure or have like tires except for diameter ready to go if they need to adjust stagger. But your not there yet, ya just need some. ...
ps... you'll need a stagger tape to measure around your tires. They sell narrow blade steel tape measures made to do the job. Or you can use a dress makers cloth tape which will wrap around the tires.