This is a fairly simple process, although depending on your computer may be very slow.
Use handbrake, it is a free application. It will take a DVD to iPod format in one step, it is easy but not always successful. This link explains how to do it as well as where to download handbrake.
http://www.clone2go.com/tutorials/how-to-rip-dvd-to-iphone-format-with-handbrake.php
Handbrake isn't updated anymore, so it will not work on many newer DVDs with new copy protection. Up is one such movie that is tricky to copy.
If you feel adventurous, you can download these two programs to also get a DVD onto your iPod that handbrake fails to copy.
You can use a program called DVD Shrink to create a single MPG file, which can then be converted to a smaller .mp4 file for iPod using a second program called Free Video Converter.
Download DVD Shrink at:
http://www.softpedia.com/get/CD-DVD-Tools/CD-DVD-Rip-Other-Tools/DVD-Shrink.shtml
Download Free Video Converter at:
http://www.koyotesoft.com/appli/Setup_FreeVideoConverter.exe
1) DVD Shrink steps with DVD you want to copy in your computer
2) Preferences: "output files" tab: UNcheck "Split VOBs" checkbox
Preferences: "File I/O" tab: UNcheck "Enable burning with Nero" checkbox
3) Open disk
4) click "Re-Author" button
5) On the right-pane (not left) click Main Movie, then double-click the movie you want to rip
6) On right-pane (again) click "compression settings" tab. Deselect any unused audio, etc. I also recompress to about 67%, but you might want to leave it as "automatic".
7) Click "Backup" button
8) De-select "create Video_TS and Audio_TS folders" checkbox
9) Select target folder, then select "OK" button (target being where it is saved)
10) When done, go to the target folder and rename the VOB extension to MPG.
11) Now open Free Video Converter
12) Click Add Files and click on your freshly created .MPG file.
13) Select iPhone from Output options at bottom left. (Select iPhone for iPod touch also)
14) Select Convert Video button and wait for your video to finish and then copy to iPod.
