I've been keeping live plants for a long time. Most plants can be taken out and planted directly in the tank like swords and other big plants. The smaller ones like Micros, I always cut the black basket brackets and plant the whole thing, wadding and all. Micros will grow fast and you can always go back and remove the left over ring once the plant takes root and spreads. Smaller plants tend to have a more dense and fragile root structure and are more inclined to problems.
In short, cut the black basket off. Leave the top ring and just plant. Once the plant spreads and takes root, I go back and cut out (harvest) the original plant and remove the wadding and ring. I've never lost a plant this way, but I did have waddding break up one time and make a mess.
Hope this helps
