I finally figured out what parameters to place in it.
TCP/IP settings is for the IP Address of the AS400
Initial Catalog you can get by invoking WRKRDBDIRE from the AS400 console.
Package collection is for the librabry you are using
On my SSIS package, I can easily get data from the AS400 [Table ABC] then save into a SQL server or text file etc by using a SQL command.
HOWEVER, I had issues writing back to the AS400. I was importing a text file back to the AS400 table [Table ABC] but I don't get to see the table as an option to write to.