Wordpress clean URLS with Lighttpd, the E-Z way
This single line seems to work for my WP install. I needed to add a couple of redirects and rewrites to handle my RSS feed, since I use Feedburner, but this line does all the heavy lifting...Place it after server.document-root, either in the main section or in your virtual host sub-sections...
server.error-handler-404 = "/index.php?error=404"