Whats the rule for putting up a plus-minus sign when taking under root?
$a = \pm b$ is shorthand for saying "we don't know what $a$ is, but it has to be either $b$ or $-b$". If you wrote $\pm a = \pm b$ then what you're saying is that
$$ \begin{align} \text{either} & (1) & a&=b \\ \text{or } & (2) & a&=-b \\ \text{or } & (3) & -a&=b \\ \text{or } & (4) & -a&=-b \end{align} $$
But $(1)$ is the same as $(4)$ and $(2)$ is the same as $(3)$, so the first $\pm$ sign is redundant.
You could write $\pm (x+1) = \sqrt{21}$ if you so wished, but it's fairly clear that writing $x+1 = \pm \sqrt{21}$ facilitates solving for $x$.
You need to understand why we put a $\pm$ sign in the first place. When we say that $$ x^2 = a > 0 \qquad \Longleftrightarrow \qquad x = \pm \sqrt a, $$ It is because we want to say $$ x^2 = a > 0 \qquad \Longleftrightarrow \quad x \in \{ \sqrt a, -\sqrt a \}. $$ The $\pm$ is just a short hand. In other words, when you see a $\pm$ sign, you need to understand that it doesn't mean that "the equation holds whether we put a minus or a plus sign in there", but think of it more as like "the variable on the left-hand side can take on the values of the right-hand side, whether the $\pm$ is actually a $+$ or a $-$.
Hope that helps,
Really, you should, since $\sqrt{a^2}=|a|$.
You have $$ (x+1)^2=21 $$ which is equivalent to $$ |(x+1)|= \sqrt{21}. $$ Since $|x+1|$ is either $x+1$ or $-(x+1)$ and since $|x+1|=|-(x+1)|$, the above equation is satisfied if and only if either $$\tag{1}x+1=\sqrt{21}\quad\text{or}\quad-(x+1)=\sqrt{21}.$$ This is written in shorthand as:
$$ \pm (x+1)= \sqrt{21}. $$ and read as "$x+1$ is $\sqrt{21}$ or $-(x+1)$ is $\sqrt{21}$".
Now (1) is equivalent to $$\tag{2} x+1=\sqrt{21}\quad\text{or}\quad(x+1)=-\sqrt{21}.$$
And (2) is written in shorthand as $$ (x+1)=\pm\sqrt{21}. $$
This is preferable, since it allows you to solve for $x$ in an expeditious mannar:
$$x=-1\pm\sqrt{21}.$$