Please provide some computer specs: processor/speed, ram, video card, usb or firewire ports, operating system, etc. Don't worry about doing any video conversion yet, you have to get the video on your PC first.
"free trial of Adobe Deluxe Elements, but found out that my computer does not support this.." Do you get an error message or?
I found this in a review of your camers:
"That brings us to the touchy subject of video editing. On most digital cameras, you can just double-click on the AVI or MOV file and it would open up in Windows Media or QuickTime Player. That's not the case on the ZS3, at least if you're using the AVCHD Lite codec. The camera creates a fairly complex file structure on your memory card, and even if you do find the video file, there's not much you can do with it.
For viewing and editing the movie (at least in Windows), you'll want to use PhotoFunStudio. You can view the movies, remove unwanted footage (see screenshot above), and burn them to a DVD or Blu-ray disc. This software does not allow you to convert videos to more common formats like AVI or QuickTime. For that, you'll need a more serious video editor, like Adobe Premiere.