ok (home).. =)
I need to re-group a bit.. haha
2a.) check (was editor parse) 
back to 2.)
since Im not used to terminology ..etc I am nto sure if I am need to do something more.. or did it correctly.
Is my diagram correct? (the last one posted, with cap over pins 7&8).. I believe so, as you answer 'yes' (when I asked if its just that easy)
and Im still un-sure/clear about you mentioning the v5 power being 'all the way around the breadboard' and going to pin 7...
this is ok?
it 'is' ok, but if I do this.. I need to 'do what I did above'...yes? (add a cap across pins 7 & 8)..
you used 'decoupling' which is throwing me? & squelching noise?
also did do the resistor portion correctly now? per your advice/post previously? (this was to quickly test the blink sketch on the chip)
If things are good so far..(and if you dont mind)..
I'd like to step things to the next step (your mention of analog functions & the series resistor for an activity led..or adding an activity led to the barebones set-up)
I know understand I should cap both sets of pins 20 & 22 / 21 & 22 (I'll go check the schematic again to see what size.) for a 'clean' power (right?).. but what is an example of an analog function? I guess vs digital? are these the PWM enabled type pins? Is that what that means? and the others are not? (trying to translate correct terminology to laymen understanding) haha..
and
you said something about having an activity led..(like to mirror a true arduino board?)
so to start my search.. I should be looking for:
RN2A (or RN2B)
on the schematic, and try to copy the layout/implementation?
thanks