If you plan on printing big pictures off of your computer, it's better to get a camera with high megapixels. But there's really no need to though if you're not going to do that.

Go here for digital camera reviews:
http://www.steves-digicams.com/

Best cameras:
http://www.steves-digicams.com/best_cameras.html

I just got a Canon PowerShot A85 about a week before Christmas and that camera is awesome! It's a 4 megapixel and cost $250 at Ritz Camera. I definitely recommend either a Canon or Nikon cause they have movie modes too.

Good luck! Once you get a new camera, it's a new addiction!