Configure Windows 9x to handle more than 1 GB RAM

Windows 95 / 98 / Me has a limitation for how much memory they can handle, actual if having 1 GByte (1024 MByte) or more, then it might keep Win9x from starting at all. And give messages like these or reboot continuously:

There is not enough memory available to run this program. Quit one or more programs, and then try again.

Insufficient memory to initialize windows. Quit one or more memory-resident programs or remove unnecessary utilities from your Config.sys and Autoexec.bat files, and restart your computer.

To solve this, do one of the following :

Take out your memory and only use 512 Mbyte.
Limit the VCACHE to a maximum of 512 MByte. As it is not able to configure itself properly with large amount of memory available.
Limit the available memory for Windows to use to 768 MByte.
Do this by editing the C:\Windows\System.ini and add this setting to the [386enh] section.
[386enh]
MaxPhysPage=40000