Need a full version of FRAPS. If you want it to get sound from game too, you need a decent audio card. For the editing I was using Premiere Pro 2, which is kinda pricey, any decent video production software should work. Like most of you should have Windows Movie Maker.
Thing to remember is FRAPS avi files it records are non-compressed, so they are huge. Have some disk space available. Rendering times during the video edit can suck too. I have two PCs built just for NLE (nonlinear editing), so I had an advantage. Hard part was finding a proper codex to save it to so you could see and hear it, without going over the YouTube 100Mb limit.
Big thing is get FRAPS and figure that out...then mess with editing in which ever editor you're going to use. This project today was the first time I have used Premiere Pro 2. Last time I edited, it was just Adobe Premiere 5.0 I think. It was a huge change and much much easier editing. I just didn't take the time to learn desolves and such.
This is what the finished project looked like just before rendering...
If ya get FRAPS and need help or an editor, I'd be more then happy to help ya if I can.