How do I transfer the purchased items on my iPhone to my iTunes library?

When I connect my iPhone to my computer, I get the message that a newer version of iPhone software is available. However, when I click on the link to download and install the software, I get the message "There are purchased items on the iPhone that have not been transferred to your iTunes library. You should transfer these items to your iTunes library before updating this iPhone." How do I transfer the purchased items on my iPhone to my iTunes library?

You may need to enable the Menu Bar.
In the upper right hand corner, there should be a small box, half dark colored and half light, with a small arrow next to it. Click there, and choose "Show Menu Bar" from the resulting menu. At that point, you should be able to select File > Devices > Transfer Purchases, as explained by roaminggnome.
A second option you have is to show the sidebar by going to View > Show Sidebar. After this is done, right click on your device in the sidebar, and "Transfer Purchases" should be an option.
Please refer to this article for more information
http://support.apple.com/kb/HT1848

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    http://support.apple.com/kb/HT1848

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