Hi Brad,
Thanks for your answer. Yes, the template is made up of blank pages. Maybe a Master Page for all pages and a different Master Page for the first page of a new chapter if that's how you like it — same baseline grid but starting lower with the chapter title or something. And the template would also contain all the Paragraph and Character Styles that you use/need. So you save that as a template file. Then, when you want to write a new chapter, open the template file (which, when open, will be called Untitled.indd) and start typing — or importing text and images. Save the file.
As for just using guides, do whatever suits you best. There are always a 100 different ways to do things and everyone has his/her own method. For me, it's the baseline grid.
Usually I set up all the files before I make them into a book — but again, each to his own (or I think 'YMMV' is popular email jargon!). I find it easiest to name the files starting with numbers, i.e., '00 frontmatter.indd', '01 chapter 01.indd' etc. etc. When you've finished all the files, close them, and then from the File menu in InDesign choose New > Book. Call it whatever you call the book. Then drag all the book files (or hit the plus sign at the bottom and navigate to the files) into the Book dialogue box. Once the files are in the Book [box] you can drag them up and down to put them into a different order if necessary. The pages will number automatically, as specified in each file in the Numbering and Sections dialogue box). And voilà, you have your book.
Happy writing.
Ann