I have a Felpro aluminum gasket and was wondering if I should but RTV sealant around all the water ports. The instructions say to do it and the guy at autozone said to do put sealant around the water ports but do not get it in the indentations. The old gaskets didn't have any sealant on them. Also, wouldn't putting sealant around all the water ports compromise the seal? What should I do?

I wouldn't use theose gaskets. I like the composite type gaskets a lot less leak prone. (Personal opinion)

I am a fan of the Copper-Coat spray-on stuff. Works good on intake and head gaskets.

Is it a 318?

I would use permatex #2 around the water AND the intake ports both sides, sparingly on the intake ports & slightly more on the water ports. I do not think tin is pliable enough to go on dry though people have done so (bb valley pans) & reported no issues but I am not convinced. Works for me and also a very SLIGHT intake port leak(from no sealer) may not be apparent but will skew the mixture slightly & keep the eng from being all that it can be. I have no problem putting it in the indentations just remember sparingly & it is not enough to be oozed out when you torque it. Either way you go if you have a rad pumper upper(such as a stant unit) pump the rad up to 15 lbs & see if it's airtight before you add any coolant

I have put them on dry before but the copper spray is a good idea. You will have to use a dab of rtv in the four corners. Honestly, I don`t like the steel gaskets. I don`t know what choices you have for a 318 but I would look for a different type gasket but that`s up to you.