Hi, caz32, Welcome to the SitePoint forums.
What "To Wrap or Not to Wrap" depends on the page design. Generally, outer containers are a good idea, but not necessarily required.
For example, whether or not a container div is needed around the <h1> or nav menu depends on the complexity of those objects.
On the other hand, padding:0 and margin:0 should be assigned to the body tag (via css) and selectively in other places as needed.
<li>nav menu list</li>
</div> <!-- .outer -->
The HTML in your example code looks like you've got the basic idea.
This is a pretty simple reply. If you need more depth, let us know.