Cosy caramel is getting on my nerves

cosy caramel socks are coming along the way... Just 1 problem... after picking up the stitches... what should i do? The pattern is not making any sense. Or should i rephrase the question. Must i pick up stitches from all of the 'turned- heel' area and rejoin with the 'sitting stitches' in circular knitting???

Oh my, i m making myself confused. Maybe i should source another sock pattern and start knitting allllll over again.

God bless..
Any advice ??