Squid with authentication Ubuntu 14.04

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Install squid and apache2-utils:

apt-get install squid3 apache2-utils

In Ubuntu 16 use squid/ folder instead of squid3/ and squid as service name instead of squid3

Open config file:

nano /etc/squid3/squid.conf

Make it look like this:

auth_param digest program /usr/lib/squid3/digest_file_auth -c /etc/squid3/passwords
auth_param digest realm proxy
acl authenticated proxy_auth REQUIRED
http_access allow authenticated
http_port 3128

Create user:

htdigest -c /etc/squid3/passwords proxy username

Restart sqiud:

service squid3 restart

Watch access log:

tail -f /var/log/squid3/access.log