How do I install these mods?

[Hotelmariofan]

Alright, I would like to run a MC 1.6.2 server with some friends, but I would really like mods such as NEI and a few others. Since they actually "mods" and not "plugins", I know I need to make some extra steps to do this other than get craftbukkit and such. So, my question is, what do I need to do? Just create a "mods" folder in the server dir and throw them in? I doubt it's that easy. Another thing, what will those connecting to the server need to do in order to see all the mods that I have installed? Thanks in advanced.