Step by Step setup Terminal Services?

First, understand that Remote Administration is only available for Win2K server. You can administer a Win2K server from a computer running any other version of Windows.
Server setup is actually very simple. All you do is install the Terminal Services from Control Panel | Add/Remove Programs | Add/Remove Windows Components | Terminal Services. You do not need to load Terminal Services Licensing if you will only be using the Remote Administration mode. When you click the next button, you willbe asked which mode you will be operating in. From there the procedure is the same as for adding any other components.
You will have a new folder aded to your Programs menu. Inside you will find 3 tools: Terminal Services Client Creator, Terminal Services Configuration, and Terminal Services Manager. No configuration need normally be done on the server. The last 2 tools are mainly used when you are using Applicaton Server mode. The Client Creator (as the name implies) is used to create the client installation disk set on floppies (2 for 32-bit clients - Win98 or later; or 4 for the 16-bit client - Win95 or earlier).