Thats right, should be fine. Use the routers setup cd / web interface (FOLLOW THE INSTRUCTIONS!!!!) to set it all up. Initial setup will require a wired ethernet connection. During initial setup you can give a name to your wireless network and (Definately do this step!) set up encryption so people cant intercept it.
There are two types of router. Ones with modems built in and ones without. If your broadband is ADSL (comes over a telephone line) and your router has a modem, then you can get rid of your usb modem and the router will take its place, saving space. You will need your connection details from your ISP.
Ones without a built in modem are still fine though, just run an ethernet cable from the modem to the routers WAN port (should be clearly marked, it will be the one port thats set aside/a different colour from the rest). If your broadband is not ADSL (e.g it comes over the same cable as your TV) then you must use this option.
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