Hey Dude,
If you already have a computer and a sound card then you are half way there. For beginners I usually recommend a standalone DAW as a better starting point however I have a set up that uses both !

The reason I do this is that you don't have to worry about plugins (effects) compatibility, latency, system stability and a thousand other things. I would recommend spending 200 bucks on a second hand POD V2 which you can plug striate into your sound card. This makes it infinitely easier to get really nice guitar tone down than trying to mic an amp with a cheap microphone / preamp.

As far as software is concerned, I use Sonar which is about 600 bucks however there are plenty of free options (and threads about them on this site.). If you use the search facility in the Recording forum you will find many. Id avoid pro-tools to start with as, although it is the industry standard, it can get expensive fast re. plugins etc. If you are using a Mac Id suggest getting a copy of Garage Band (unless like Mr Schmange you are still stuck on OS9, eh betamax boy !!).

later

S