And, even once you've got password logins working, authentication works really strangely in postgres. Every database has a single "owner" (based on who created it) who has full permissions. If you want to make more permissions available to another user, you have to grant them manually, on a table-by-table basis. Want to grant SELECT on every table in a large database? Sucks to be you!
Compare this to MySQL, where there's just a single magic table of permissions, and you'll begin to see why a lot of system administrators prefer MySQL to Postgres as well. :(