[jammyjim]

You do not need to remove the engine to drop the transaxle. YOu do, however, need to support the engine off of the mounts. So, a hoist is recommended. I recommend that you get a manuel before you try this. Two things every vw do-it-yourselfers should have: The Bently Manuel for VW's and the microfitch diagrams on cd rom. I have an old computer in my garage just to run my microfitch. If you do not want to buy the manuel, you could also check your local library.

Good luck