Gandomyr: It means you have two level 1 spell slots. That means you can cast two level 1 spells from your spell list. Later, when you get slots for level 2 spells, things become more interesting. With a level 2 slot you can cast a level 1 spell OR a level 2 spell. And so on and so forth. Suppose you have 2 level 1 slots, 2 level 2 slots and 2 level 3 slots. You could cast 6 Magic Missiles (which is a level 1 spell) using all those slots, but only 2 Fireballs (which is a level 3 spell). Because a level 3 spell can't use level 1 or level 2 slots.