[ale] Proxy server / blocking router?

[griffisb at bellsouth.net]

Hey all, 

   I was going through my Linksys router logs and noticed access to some sites I'd really rather not be hit. I've spoken to my kids about it - but would like to put in some filtering transparent proxy server or router.

   Right now my Linksys router can only block on up to 10 keywords - so it's absolutely useless for blocking. My old netgear router could block on up to 99 keywords - still not enough, but a little better.

   Can anyone recommend a proxy server or router than has good hate / violence blocking? Preferably a free (or open source) list. And something that can be done transparently, so I wouldn't need to modify the PCs to provide blocking. I'd like to yank out my Linksys, and put in something that does DHCP, routing, firewall and transparent proxy server work.

   Is this something Squid can do? Or would I put Squid in line between my existing router and my LAN, forcing all traffic through the Squid server? Help!