I'd stick with 98SE unless there's some really compelling reason to change (i.e. a program that you "absolutely must have" and it won't run on 98SE).
I'm installing an internet system for one of my local office contracts at the moment. Ideally I would have installed a Unix-based system (e.g. Linux), but as everyone in the place with home computers is already familiar with Windows we decided to go with that. I'm installing 98SE, as I will also need to interface with older DOS applications.
I've had much bigger problems in the past trying to get some old DOS programs set up under XP (and the problems with some under 98SE are more than enough!).
This is certainly another factor to consider if you want to run old DOS applications as well.
[This message has been edited by pauluk (edited 08-10-2006).]
