.htaccess Password Generator

[Fready]

Trying to add this for my Admin Panel
http://tools.dynamicdrive.com/password/

But can't get it to work, must be doing something wrong.
I really don't know about this part:

2) Path to .htpasswd file relative to your server's root directory: (e.g. - /home/site_name/)

Or

3) File names to protect (Optional: leave empty if protecting folder):
Separate multiple files with a comma. ie: protected.htm, protected2.htm

Or this:

Upload ".htpasswd" to the root or a non publically accessible directory on your server.
Upload ".htaccess" to the directory you wish to protect, and inside this file, verify that the server path to the .htpasswd file above is valid:
AuthUserFile /home/mysite/.htpasswd
If you've uploaded the ".htpasswd" file to simply the same directory as your ".htaccess" file (less secure than root directory), then the path would look something like this instead:

AuthUserFile /home/mysite/public_html/mydirectory/.htpasswd

If anyone can simplify this for me I would be able to do it.