Your Narcissus will bloom in the spring, and within a couple weeks the flowers will fade. Leave the foliage on the plant. This lets the leaves continue to provide energy to the bulbs, which makes them bloom better the following year. Wait to propagate your plants when the foliage begins to die in late spring or early summer. Don't wait too long or the foliage will compost into the ground and make it difficult to find your bulbs.
Narcissus need at least two years to develop several daughter bulbs from the mother bulb. Over the next couple of years, the bulbs become crowded and produce smaller or fewer blooms. Take note in the spring which of your 3-year or older plants are showing signs of crowding. Place a marker in the center of these plants to remind yourself which ones to dig for propagation.
With a garden spade, dig into the soil at the edge of the clump of Narcissus you marked for division in the spring. Narcissus bulbs can be anywhere from 6 to 12 inches deep. Continue to dig around the clump until it is loose enough to lift out; you may need help with this since the soil and bulbs can be quite heavy. Once the clump is out, break apart individual bulbs with your hands.
Once you have your Narcissus bulbs out and broken apart, keep some to replant in your garden and set aside others to give away or sell. Since you have the spade out, go ahead and replant the bulbs you want to keep. For the others, trim off any remaining foliage and let them air dry in the shade for three days. Store the bulbs in a dry and cool location with good air flow. Throw out or compost any damaged or rotting bulbs you find.
A less common and more time-consuming method of Narcissus propagation is by seed. In this case, leave the blooms on the plant and let them go to seed. Save the seed capsules in a dry location until fall. The seeds can then be planted in loose potting soil or directly in the garden. If planting in trays or pots, keep them outside in a shed or under an eave. Keep the seeds moist but not wet. They will sprout in the spring, but will take two or more years to bloom. The blooms will not look exactly like the parent plant.