Nope thas not the best way to do it, i have lots of tips on my website so check it out.

The best way to integrate Adsense ads into your wordpress blog is use a good free available wordpress adsense template such as prosense. This has a very high click through rate and i suggest you get this if you want to monetize the traffic your getting.

If you need any help just post a new question and then pm the link that way everyone should hopefully benifit.