network question
 

I plan to buy a new computer and i was thinking of useing my old tower with 4 cpu for a proxy server.But the linksys router it up stairs and come down to my eth0 cable to my pc.

I was think could i setup my own proxy server up or not and i forgot i do got a dell server poweredge 500sc should i get that fix up use that or should i use my old tower?

If you want to setup any additional computers in your house you'll likely have to setup a network of some variety. Depending on the capabilities of your router it can be very simple or complex. We would need a lot more details about your situation and expectations to offer any kind of suggestion, your post itself did not really ask any questions with enough information to make a good answer.

Take a look at untangle and other premade distros just for such a use.