A few questions

Quick question or two, where would you set up the basic rules of a game i.e. how damage works or how skills effect that damage, and what would be a good way to set up enemies to use for encounters in a 2d game? (Please be as detailed as possible, thanks in advance)

I’m afraid you’re question is way too vague. Nine times out of ten, Google is the way to go:

Sorry I’ll clarify, I wanted to know how to set up a damage system for a 2d game as well as how to structure the enemies for it. Should I create a function to calculate damage in the game instance or somewhere else? And for enemies should I create a singular blueprint with different enemy types and stats similar to a character setup/selection ? Sorry for being vague btw.

Typically, but it’s up to you, damage would be dealt out with the default UE system:

One blueprint for the enemy, with various children of that makes the most sense.

you are free to handle it however you want in my opinion, I barely use ue4 already created functions because they don’t suit my needs…

I just create a function take damage ,and a variable called health which is an integer or a byte or whatever you want.

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All that is UE4 Is a mesh renderer which is qiuet good at it in my opinion… The rest is just good but not that necessary.
Well I am not leaving a critic just a way to think that can improve your skills.