I am certain you will receive lots and lots of suggestions with regard to software. My only addition to those is that you should only consider packages that will let you try them out for a limited time period, and do exactly that. Second, the DVD is giving way to Blu-Ray, and Blu-Ray burners have been on the market for a couple of years now. I would recommend buying one - they're not terribly expensive any more, and considering you have an HD camcorder, wouldn't it be nice if you could store and view your video in HD? Because DVD is not capable of handling the resolution your camcorder provides, so if you store your videos on DVD, you will lose that lovely HD quality forever. This means that whatever package you end up getting, has to be able to master Blu-Ray. I believe there are currently only three or four mastering suites that do that. As an aside, the Blu-Ray burner will let you write 25 or 50 GB data disks, nice for backup.
On the same score, you may want to consider updating your Vista to Windows 7, which is very stable, and has HD compatibilities that work much better than those in Vista. You're going to Windows 7 anyway, eventually, so perhaps this is a good time to do that.
I have one comment on your mention of "preserving on DVD". It is brief: DON'T. DVDs are an unreliable storage method, they are easy to damage, there are compatibility issues between different brands of drives, in short - great for distribution, not great for storage. I recommend getting a multimedia server with gobs of disk space, if you have the wherewithall you can set up a simple cheap desktop with a large RAID drive, like a 2 terabyte Fantom, and make that accessible from your network, and use it to store all your "stuff" on. Periodically, as technology advances, you will have to move your files to larger disk arrays, in my case, every two years or so, when I begin to run out of space, but your "preserving" will last way beyond the life of a DVD. And in the future, you and your children can still copy your videos to whatever the playback technology of the age is.