add user and password protect the owner?

Question

how do I add new users to my computer and put a password on ours so that every time the computer is turned on, users would first have to identify themselves. we want to do this so kids can be monitered on their activity online, but at the same time, they don't have access to our files. i think the school had a set up like this - but all i can seem to find is our file as an owner, and a guest one to log in on once i log off, but nothing has to be logged in on when you first turn on the computer, it just opens ours as the owner to everyone.
thanks

Answer 1

IMPORTANT
If you need to perform administrative–only tasks on your computer, such as managing accounts and resources, assign administrator rights to your user account when you create it.

To create a user account

1.
Click Start, click Control Panel, and then click User Accounts.

2.
On the “Users” tab, click Add.

3.
Type a name for your user account, your full name, and a description for your account.

4.
Type a user password, and then type the user password again to confirm it.

IMPORTANT
Passwords are case–sensitive. "MyPassword" and "mypassword" are treated as two different passwords.

5.
Click Next.

6.
Select the level of access for your user account, and then click Finish.


For more information about user accounts, level of access, rights and permissions, see the Help and Support Center.

Log On with Your User Account
Now that you've created a user account, log off as the administrator and log on using your own user account.

To log off as the administrator and log on with your new user account

Answer 2

Well, I was going to answer, but David seemed to do quite a good job at explaining it. He described the easy GUI (Graphic User Interface), but there are other advance way. Also beware, If your kids are computer savvy, you have to be careful. If you don't set things up properly, they can do anything they want.

If you want to moniter online activity, I would suggest installing a keylogger. It basically stores all the key that are pressed. There are many free ones on the web.