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moridinamael comments on Starting University Advice Repository - Less Wrong
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On the margin I think its usually better to take less and/or easier courses. It is better to do very well on an easier schedule than do "ok" on a hard schedule. If you apply for a job or grad school everyone will look at your gpa. If a semester is too easy this is not a serious problem. You can always read an extra textbook or do some coding projects in your spare time. Next semester you can up the difficulty. If a semester turns out to be too hard and you do badly the penalties are real (though survivable).
This is one of those "depends" pieces of advice. At some schools, the entire Freshman year GPA is completely forgiven, ignored, or given specific exemptions in how it's factored into the final GPA. In this case, why not go for broke? I always suggest starting out with the hardest thing and then ratcheting down instead of vice versa.
In reality, I think people usually underestimate themselves. It's better to try the hardest possible path and then find your limits, than be cautious and never discover them.