Camera technology is changing faster than computer technology. At a minimum seek a 3 Mega pixel (3 million dots) camera. Look for a camera that includes at least a 2GB FlashRAM card (or plan on buying one), which is where your pictures are stored as you snap them. This will give you enough room to take about 1000 high quality pictures before you need to move them to your computer hard drive. Also strongly consider true optical zoom to help you better frame your subjects without having to move them or yourself. Cameras of this type can be had in the $300 range.

Good inkjet printers can be had for $150. As you pay more the printers typically print faster, not necessarily at a higher quality.

Printing on good quality glossy photo paper can cost about $1.00 a print, so you will probably only print special shots. You can also take your electronic pictures to a traditional photo processing lab for printing.