I am unable to sync my iphone to itunes due to needing to update it, but when I try it tells me that it requires a system update but when I click software update it tells me that all of my software is up to date
You need to be on at least 10.6.8. Assuming that your machine is capable of it, you will need to buy (but phoning Apple sales) a 10.6 installation disk, then upgrade to 10.6.8.
Start by checking if you can run Snow Leopard:
Requirements for OS X 10.6 'Snow Leopard'
http://support.apple.com/kb/SP575
Whilst Apple have withdrawn Snow Leopard from their stores, you can still get it from Apple by calling 1-800-MY-APPLE (if you are in the USA) and they will supply the SL DVD for $20 for a single user, or $30 for a family pack that covers up to 5 Macs. You can also purchase the code to use to download Lion from the same number (Lion requires an Intel-based Mac with a Core 2 Duo, i3, i5, i7 or Xeon processor and 2GB of RAM, running the latest version of Snow Leopard), or you can purchase Mountain Lion from the App Store - if you can run that:
http://www.apple.com/osx/specs/
If you are outside the US call your national Apple Helpline:
http://support.apple.com/kb/HE57
If you're in the UK, use this number: 0871 508 4400
When you have installed it, run Software Update to download and install the latest updates for Snow Leopard.
To use iCloud you have to upgrade all the way to Mountain Lion:
I am unable to sync my iphone to itunes due to needing to update it, but when I try it tells me that it requires a system update but when I click software update it tells me that all of my software is up to date
