I use the same script, the "SASL Manager", in the pictures.
I had written some rather crude instructions (never got around to improving them), might want to try following them. Here
, on my little dropbox page.
As for the reason you need SASL on freenode, Instead of K-Lining a large amount of amount IP's, that abusive users have used before, they just add the SASL requirement, so that you have to be fully identified, before the connection is completed. Rather annoying, but at least you still have a way to connect.
Make sure you are entering your account
name, not one of your grouped nicks. (You need a registered account, for this to work).