Need help to type chinese in Vista Home Premium Edition

Hi

I just bought 1 new pc for my 7 yrs old son, so that he can type chinese
for his school homework.

I am in Canada.

I have "Vista Home Premium Edition". I thought i can type chinese tradition
like what i did in Windows XP Pro,
where , if i typed "Hong", it will bring up a small windows with
some closer word in chinese that matching that "hong" ..
-hong (red color)
-hong ( another word )

I changed my language to Taiwan tradition and i can type chinese
but the problem is.. it did not display the proper chinese word
or there isn't any pop up windows that i can choosse
the closer chinese word for the pingying

The same problem for my Windows XP HOME edition.

Is ther anyway, i can type Chinese in Ms Office (For student)?
The reason i bought this pc is for my 7 yrs old son to type chinese?
I knew Vista Business version can do it
but impossible to upgrade my Vista to Business version just because of the
for my 7 yrs old kid to chinese in word?

Please advise me..
I really need help.

Actually, my sisters also bought 1..we bought 3 computers together on
Aug 16 2009 just because of kids school home work
now, we all stucked

Please..
thanks !