Encoding before burning a DVD

I have some home videos that I have loaded onto my MacBook 10.6.8 but I cannot burn them because the file is too large and I am receiving a dropdown to that effect.  Here is what I have done and what I need to know . . .
I opened IDVD
Clicked on Magic IDVD
Gave the DVD a title
I chose a Theme
Drug my movie from the Movie Folder into the Drop Movies Here bar and immediately . . .
Received a dropdown box that said . . .  Your project exceeds the maximum content duration.  To burn your DVD, change the encoder setting inthe Project info window
I clicked OK
Then I went to the Project Tab in the IDVD Tool bBar to open that window
Once that window opened,  I was lost and I need to know which settings to choose and how long the encoding takes - is the encoding complete only when the 'slide' box under the Encoding Tab at the bottom of the window is totally filled in or is it complete immediately upon choosing an encoding option?
The settings options are as follows . . .
Disc name:        My title
Video Mode:      NTSC or PAL
Encoding:          Best performance, high quality, or professional quality
Aspect Ratio:     Standard 4:3 or widescreen 16:9
DVD Type:         Single-Layer (SL) - 4.2GB or Double-Layer (DL) - 7.7GB
Help - thanks,
Cactus Flower

Your project exceeds the maximum content duration.  To burn your DVD, change the encoder setting inthe Project info window
So that is what you have to do:
iDVD encoding settings:
http://docs.info.apple.com/article.html?path=iDVD/7.0/en/11417.html
Short version:
Best Performance is for videos of up to 60 minutes
Best Quality is for videos of up to 120 minutes
Professional Quality is also for up to 120 minutes but even higher quality (and takes much longer)
That was for single-layer DVDs. Double these numbers for dual-layer DVDs.
Professional Quality: The Professional Quality option uses advanced technology to encode your video, resulting in the best quality of video possible on your burned DVD. You can select this option regardless of your project’s duration (up to 2 hours of video for a single-layer disc and 4 hours for a double-layer disc). Because Professional Quality encoding is time-consuming (requiring about twice as much time to encode a project as the High Quality option, for example) choose it only if you are not concerned abo
In both cases the maximum length includes titles, transitions and effects etc. Allow about 15 minutes for these.
You can use the amount of video in your project as a rough determination of which method to choose. If your project has an hour or less of video (for a single-layer disc), choose Best Performance. If it has between 1 and 2 hours of video (for a single-layer disc), choose High Quality. If you want the best possible encoding quality for projects that are up to 2 hours (for a single-layer disc), choose Professional Quality. This option takes about twice as long as the High Quality option, so select it only if time is not an issue for you.
Use the Capacity meter in the Project Info window (choose Project > Project Info) to determine how many minutes of video your project contains.
NOTE: With the Best Performance setting, you can turn background encoding off by choosing Advanced > “Encode in Background.” The checkmark is removed to show it’s no longer selected. Turning off background encoding can help performance if your system seems sluggish.
And whilst checking these settings in iDVD Preferences, make sure that the settings for NTSC/PAL and DV/DV Widescreen are also what you want.
http://support.apple.com/kb/HT1502?viewlocale=en_US

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