Okay so I am a total noob at this... I have a VPS using lxadmin panel and I want to set my own NS but I only have one IP... will this work? also... I have set up the DNS template as seen in the pic below: http://i36.tinypic.com/2vhstvb.jpg now what do I have to do to get my domain to go to the server? I tried changing the NS in my domain registrar but it says they are not on the network?
You need to create A records for NS1 and NS2, just point them to the same IP for now. If you can, get a second IP, most providers offer them for just $1 more. Have you created the glue records at your registrar?