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ManzolaFlag for United States of America

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How can I set up a working in-home domain with users and permissions

I just installed Windows Server 2003 for the first time and I would like to experiment a bit with it in order to learn some more about managing networks. I have a four computer in-home network. If someone could provide me a near step by step guide as to how to set up a working dns server  (for domain) and how to actually get active directory services to work. There is such a variety of options I would first like to know what is important. I also have this problem with creating users, whereby everytime I try to create the password and click ok it tells me it is unable to do so because of pasword strenght is not adequate, which is bs because i tried a billion combinations, on top of that I disabled the password requirements under group policies. Thanks ahead of time!  (also a stupid question, but what is the real benefit of running a domain server?)
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Brian Pierce
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I am having problems setting up the DNS server. I am getting confused with forwarders reverse forwarders and things like that. I am not sure what IP to use for the fowarder, and I would really like to know how I can get it to work.