After installing WF 7.1.3 server onto a Windows XP machine I run the 'Test basic functionally' and I get an pop-up window that says: 'Authentication failed. User ID is invalid.'. I'm running the server with security on and the user id is an adminstrator on the machine, this is the same id the server was installed on.

If I turn security off it works but we don't want to run the server with security off.

Does anyone know why this is happening.

You might have typed in the wrong password when you did the install. Go to the server console - with security on - and check for warnings or errors on the main page. If there is, it usually tells you how to [fix] it.

The password typed in is the correct one. I got no fix it now message.

Update:
If the computer is on our network the issue goes away but it still happens when the computer is off the network.

You are probably using a domain userid. Can you change the userid to a local admin account?

Turned out to be a domain userid. Found some work arounds that the users were happy with.