[VS2005,WSE3.0] Webservice security using KERBEROS

Hello,
I'm struggling real hard to just make a simple webservice "Hello world" application with WSE 3.0 to be encrypted using Windows Authentication.
I just want to be successfully able to run an asp.net client that invokes a webservice which displays Hello world.And the communication that occus between them needs to be totally encrypted.
I have seen MSDN nuggets too,..Its mostly about using certificates in them.But I just want to make this work using basic Windows Authentication.
I even have windows 2003 server installed on Vmware with which I can test.
So far,I am getting errors like "WSE2005: Protection requirements in KerberosAssertion are not satisfied.".I am unable to solve them.I used the policy file,set all the settings in them,created SPN...broke my head on several MSDN documents and I'm yet unable to achieve just simple kerberos security for a HelloWorld webservice.I haven't done much of code to post here,I;ve only been researching with google and trying the policy wizard with no success yet.
Please advice me or help me if you can...
Thanks so much,
Sincerely,
Godwin
P.S:I'm not looking for anything complex,.I just want to be able to achieve kerberos security for a simple Helloworld webservice and client communication.