Objective: Create new user on Ubuntu with sudo access

Create New User

$ adduser username
Adding user `username` ...
Adding new group `username` (1000) ...
Adding new user `username` (1000) with group `username` ...
Creating home directory `/home/username` ...
Copying files from `/etc/skel` ...
Enter new UNIX password: 
Retype new UNIX password: 
passwd: password updated successfully
Changing the user information for username
Enter the new value, or press ENTER for the default
	Full Name []: Username
	Room Number []: 
	Work Phone []: 
	Home Phone []: 
	Other []: 
Is the information correct? [Y/n] y

Add to sudoers file

$ visudo

Add (change username to your username):
username ALL=(ALL) ALL

Under:
root ALL=(ALL) ALL

Thats it. This new user can only do superuser commands via sudo. One thing I am still not sure of is how to do is restrict this user from cd ..‘ing back up and snooping around other directories. If you know how, please let me know. For now, I can continue setting up my test server.