Should the torque converter be instaled on the engine or trans or does it matter?

 

It matters very much. The converter should always be installed into the transmission before the transmission is put in place.There is almost no way that you could align the converter with the pump if you attached it to the engine first.
Make sure it is completely seated in the transmission or you will break the pump when you pull it together with the bolts - It should slip flat against the engine without tightening any bolts.