> can anyone help me out how to configure squid proxy
> to auth user and restrict them. 

Use the proxy_auth acl. Check your squid.conf file.
------------------------------------------------
acl aclname proxy_auth username ...
  # list of valid usernames
  # use REQUIRED to accept any valid username.
-------------------------------------------------

So if you wanna authenticate all users on your lan
acl ourlan proxy_auth REQUIRED
http_access allow ourlan

Use the __authenticate_program__ directive to mention
the authentication program. use pam_auth to
authenticate system users i.e. users from /etc/passwd.

Read auth_modules/PAM/pam_auth.c . You have to add
a couple of lines to /etc/pam.conf if you have one 
or create a file squid in /etc/pam.d/ and put the two
lines mentioned in this file in it before you can 
authenticate system users. 

Alternatively you can also use ncsa_auth, but it will
not authenticate system users. Use htpasswd to create
a password file from which you can authenticate users 
in this case.

# htpasswd -c <passwdfile> <username>
# ncsa_auth <passwdfile> 
Authentication programs run in an infinite loop.
Type a username and his password. 
<username> <password>
OK 
If you get ok then you are done. 
If you are using RedHat, the authentication programs
(pam_auth, ncsa_auth etc) are not included. use the 
squid src rpm or compile squid from sources. 

how to do it through mac address. 
No idea about this. Read squid.conf. 

i am not good at linux so pls any easy method or some
tool.

Well running squid does not require you to be good
at linux, just have the patience to RTFM and
understand. Try to use webmin if you can but I guess
it will just compilcate matters for you. squid.conf 
is your friend. 

--
Ashok


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