Here are the list of components:

ATmega328 chip (with arduino bootloader)-1
22 picofarad capacitors-2 no.s
16MHz crystal oscillator-1
220 ohms resistors-2
LEDs- 3
berg strips-few
Male headers--few
 perf board-1
Chip holder-1
LM05 voltage regulator-1
10microfarad capacitors-2
male-female connectors-1
male-female umpers- few of diff colours-few
heatshrink

Tools

hack saw
PCB holder
 soldering station
wire stripper cum cutter
glue gun
Hot air gun etc..

ATmega328 chip

             






                             Crystal oscillator

Male Berg Strip

Crystal oscillator on board

Perf Board

Female Berg strip

capacitors






Before proceeding any further you should have a clear knowledge about capacitors & how to read them
So here's a link that will help you

http://www.radio-electronics.com/info/data/capacitor/ceramic-capacitor

http://www.radio-electronics.com/info/data/capacitor/electrolytic-capacitor.php



Also it will be better if you have some "Tinkering" knowledge about the chip we are working with

here's the link that will help you
 http://arduino.cc/hu/Hacking/PinMapping 

About Arduino:

read it here :
http://en.wikipedia.org/wiki/Arduino

Here's the pin mapping:

 for more details:



http://arduino.cc/hu/Hacking/PinMapping 

Let's start with the voltage regulator  part:

This LM05 is a 5 volt regulator , meaning what ever may be the input voltage , it will have a steady 5volt dc at it's out-put, since our micro-controller cannot take more than that.

Basically the wiring is very easy. If we hold the chip with it's metal heat sink behind it , then the

first let-         Vin

second leg-    gnd

Third leg-      Vout

If you notice carefully then you'll find that we have also soldered a 10microfarad capacitor (16volt) at the out-put to filter the ripple & smooth-en it.

Next what we have done is We have connected an LED at the out-put to indicate the the LM05 is working (regulating perfectly).

Also to differentiate between  Gnd & Vout , we have provided

Female headers for gnd

Male headers for Vout

this forms a sort of power rail so that apart from using it for the arduino we can also use it for other applications .

Note: Take a look at the first picture where at the extreme left you can see 2 male headers . These are actually to be connected to the USB to serial converter so that when the arduino is connected to the comp , it can supply power to the arduino.

We have also not directly soldered the regulator to the PCB . Rather we have used the female header to plug in the LM05 to the ckt.

So this completes our Voltage regulator part.

Now Well start with fixing the chip on board :

Now down to sharpen your soldering skills .. As you can see from the just above pic that how we have soldered the parts You can also visit the link for the connections;

Just follow the wiring on to strip board, remember you don't need to add up the 100nF cap. The momentary switch here is the RESET switch , which flushes off the stored disturbing buffer & is grounded & connected to Pin 0 i.e the reset PIN (if u follow the pi mapping given here)..

Attach Female berg strips for the Analog Input & Digital I/O pins..
The Green LED is connected to pin 13 .. Additionally You can also attach LEDs to Rx Tx pins for getting signal while burning program or having any serial communication.

PIN 17,18,19 &0 are the MOSI, MISO, SCK & RESET pins resp , these are important , when you first burn the boot loader(will be explained later). so connect male berg strips from then on board.

Use jumper wires to take the Vcc & GND terminals to our Voltage Regulator power rails.

Note : Do not solder the ATmega chip Directly , Use a 28 pin slim socket (Available at probots.com).


 For even more detailed information, take a peek at the datasheet for the Atmega 168 (short version) (long version). Here's the sheet for the atmega328 (short version) (long version)

Well , after You are done with the soldering part of  all the components on board, Let's learn a few more things about arduino , it's IDE ( Integrated Development environment, platform where it's program mes are written & burnt)  & li'll bit for the beginner to start with

Bootloading your chips OPTIONAL

 

Bootloading Options

There are two options for bootloading your chips.

• Bootloading your Atmega chip using a Arduino board and an AVR programmer
• Bootloading your Atmega chip in your newly prepared breadboard with an AVR programmer 

Since I've done it using the 2nd method  , I'd like to explain it to you.


Place your Atmega chip into the Arduino board with the divot of the chip facing outward. Set the jumper to an external power supply and connect a 12V power brick (your board needs to be externally powered when using the AVR ISP mkII but is not needed with the AVRtinyISP) . Then, attach the 6-pin female plug of your AVR programmer to the 6 male header ICSP pins with the plastic nub of the ribbon cable head facing inward.
NOTE: The AVR ISP mkII turns its LED green when they've been hooked up correctly and are ready for programming. The LED turns red if it is hooked up wrong.
 


The two images at the bottom are great references when hooking up a programmer to an Atmega chip without an adapter board. The images will tell you what all the holes in the 6-pin AVR plug are and you will simply need to stick wires in the end and run them to your Atmega chip.





 

This image is a view from the bottom and labels each of the holes. Take note of the square as to what orientation your cable is in.

 Let's begin!
 Now plug the AVR programming adapter into the breadboard with the GND pin matching up with the ground wire you just ran and the 5V pin matching up with the power wire you just ran.

In this step you will need to add the last four wires needed by the AVR programmer for proper bootloading.

Be sure to refer to the Arduino pin mapping for help wiring this up.

• The MISO pin of your adapter will go to pin 18 or Arduino digital pin 12 of your Atmega chip.
• The SCK pin of your adapter will go to pin 19 or Arduino digital pin 13 of your Atmega chip.
• The RESET pin of your adapter will go to pin 1 of your Atmega chip.
• The MOSI pin of your adapter will go to pin 17 or Arduino digital pin 11 of your Atmega chip.

Now just plug in a USB cable to the USB breakout board and plug the 6-pin plug of your AVR programmer to your AVR programming adapter. The black nub of the 6-pin head must be facing upwards towards the Atmega chip.

The USB ASP (I have this piece)

The simple break out board to couple with the duino board

Connections from the USB- ASP

The two power wires to the voltage regulator

this helps powering the duino board when connected to the computer

Wires from the breakout board to the 4 programming pins of the duino board

The whole set up with the burner .. (Yeah I know it's a bit messy, well you can finish it on a single board)

In the next step, we'll show you have to use the Arduino software to burn your bootloader!

Time to burn!

(My cousin's mac)

Open the Arduino IDE and then go to 'Tools' and 'Board'. Choosing the type of board you'd like to use will effect which bootloader you will be put on your chip. Most commonly you will be using the Diecimilia or the most recent version of Arduino for an Atmega PDIP, however if you'd like to bootload an Arduino Lilypad, Arduino Mini, Arduino Nano, or any of the older Arduino versions, choose the appropriate board.

Then, go to 'Tools' and 'Burn Bootloader' and choose the programmer you will be using.

Once you chose your programmer, the AVR programmer will begin bootloading your Atmega chip and a message will appear in the status bar which reads "Burning bootloader to I/O Board (this may take a minute)..." Lights will flicker on your programmer.

When done bootloading, the status bar will be updated with the message "Done burning bootloader." Your chip is now ready to be programmer using the Arduino software! Congrats! Power cycle your Arduino and your new Atmega chip will be running a simple LED blink program with pin 13 (if this is not the case, try programming it with one). If this is working, it was most definitely a success.

NOTE: On occasion, the process of bootloading an Atmega chip with the AVR ISP mkII will take an extraordinarily long period of time. Usually it should only take a couple minutes and in fact, theAVRtinyISP finishes much quicker. However, there are times where after 5-10 minutes it still appears to be bootloading. I found this to be an odd hiccup (perhaps it is triple checking the data flow) and after giving it ample time, 10 minutes or so, I usually unplug the programmer only to find the burning process to be a success and has ended long ago. I by no means endorse this method and you take all responsibility in whatever may happen to your chip, but in my experience it has been fairly harmless though you should proceed with caution. It is very possible that you may damage your chip in the process.