Custom permalink structure not working

Dear All,

In order to make custom permalinks possible, my hosting provider asks that it goes something like this:

/anyword/%postname%/

Then I need to do the following in my hosting account’s advanced homepage settings:

Method: file
Host: fill in the subdomain; example: www or leave blank
URI: /anyword/.*
Target: fill in the path to wordpress’s index.php; example: ~hostusername/public_html/index.php
Type: php5

I did all this but when i click any post or page, this message shows up:

Not Found
The requested URL /taken-uitbesteden/ was not found on this server.

Additionally, a 404 Not Found error was encountered while trying to use an ErrorDocument to handle the request.

Notice that the ‘requested URL’ does not have /anyword/ in it. Also, this is not my normal 404 page.

My host’s customer service cannot explain this and suspects the problem is somwhere in WordPress. Of course we did doublecheck all the settings, spelling etc.

Any help will be greatly appreciated, thanks in advance!

Judith