Templates are file types that store information for parts, assemblies, and drawings. These files save the information found in Tools, Options under Document Properties. This is crucial information such as standards, units, and material density. To create a template first get all these settings the way you want them then hit File, Save as, and change the file type to template (ending in *dot))
A format is only a customized titleblock that can be opened inside a drawing. To create your own format, first create a titleblock by right clicking on a drawing and choosing Edit Format. Once you have customized the layout of the titleblock go to File, Save Sheet Format. This will give a .slddrt which is the format file. Now in any drawing you can use this titleblock by loading this .slddrt file into the properties of the sheet. If you save a drawing template with a customized format then that template will always default to using that format.