This is my first brake job on the z.Heres what I did:
-Took the cap off the brake master cylinder
-pulled the caliper off took the old brakes out
-installed the new rotors
-Installed the new brake pads with the backing plate and that little H clip that connects the two pads and installed them in the caliper after depressing it.
- Mounted the caliper back on and slid the pads over the rotor. It goes on but It is really tight. I was under the impression that the rotor should still turn freely and not contact the pads unless the brake pedal is pressed. It is a little hard to turn. Is that normal for it to be so tight?

 

Did you compress the piston into the caliper, before completely removing the pads?

 

^Yes. I used the pad to push the piston back into the caliper.Then took it off and put the new pads in.

 

There will always be a little contact.