Postfix & saslauthd "No such file or directory"

I'm trying out Linode for the first time. My server is running Debian 6.0 (squeeze). Setup was pretty painless until I got to sasl. I copied all of my config files and certs from another (working) server over on rackspace. Postfix is receiving smtp mail ok, and users can log in and check mail, but not send. In the mail log there's this:

warning: SASL authentication failure: cannot connect to saslauthd server: No such file or directory

I tried editing /etc/default/saslauthd and added this to the last line:

OPTIONS="-c -m /var/spool/postfix/var/run/saslauthd -r"

/etc/postfix/sasl/smtp.conf has this:

pwcheck_method: saslauthd

mech_list: PLAIN LOGIN

saslauthd_path: /var/spool/postfix/var/run/saslauthd/mux

I did have to manually add the postfix user to the sasl group, though that didn't help either.

Finally I found that turning off chroot on the "submission" line in master.cf allows it to work:

submission inet n - n - - smtpd

Question here is, is it safe enough to run this without being chrooted? And if not, any tips on what path postfix is looking for? The log file doesn't say which file is missing, so it's really hard to pin down.