What Vinyl quality should I be using?

What I found is that as you move up the chain some high-end analog setups can actually improve the playback of many of those less than pristine LPs. But it takes everything in the chain to get this kind of playback. It's not that the clicks and occasional pop from the years of abuse are gone, but they are much more in the background and thereby let more of the music come through. Finding the right links in the chain is the tricky part.

On the other side of the coin, some hi-end components can detract from one's enjoyment of those treasured records you've had for years. What happens is the resolution can become so great that the music is picked apart and doesn't sound as well integrated. Usually, such a system is just showing how less than good those recordings where.

An absolute necessity is a record cleaning machine with vacuum. Any other means of cleaning is just pushing the dirt around. You will be amazed how good old vinyl can sound with a good cleaning.

Second what Sns said. I just listened to my first lp cleaned on a record cleaner with vacuum, good 3 step AIVS solutions, and 3 good brushes. The sonics blew me away! Was just using a Discwasher before. The difference is night and day!

Getting started in analog is much more expensive than just buying a cd player, but if you truly love music it is the only way to go in my opinion. I agree that a wet cleaner LP RCM is a nessessity. I recommend a VPI 16.5. Works well and is reliable. I do want to say that in my 30+ years in this hobby, I am amazed at what lies in the grooves of an LP. I owned some of these same LP's when I was a teenager using a $79.00 cheapo TT. The platter folded down and the speakers detached so you could spread them out. If a record skipped, I would just tape a few pennies on the head shell (dig a new groove). I am getting off track. My point is as my analog playback has evolved over the years the sound of these old LP's (not the ones I dug a new groove in) sound amazing! The record did not change, only the playback system. So get the best you can afford and upgrade when you feel it is time. Good luck and have fun.

05-30-08: Nickclarson
I was going to add that if anything I could just get a nice headphone amp and a turntable. I already have some pretty good sounding headphones. Beyerdynamic dt770's

For convenience, reliability, good sound for the money, good ergonomics and great resale value, you could try a Technics SL1210 M5G and add the fluid damper from KAB Electronics. Pair it with a cartridge with higher output such as a Goldring 1012x or 1022x (KAB sells both at excellent prices) or Ortofon 2M Blue and plug it into a Bellari VP129 tube phono stage. The Bellari only has 30dB of gain, so the Goldring and Ortofon moving magnet carts would be a good match. The Bellari also has a headphone output.

If you're just getting back into vinyl, the ruggedness of the Technics plus its removable headshell makes things easier--less likely to break something and much easier to mount and align cartridges.

The Technics with fluid damper is great for playing used vinyl from "questionable" sources. My setup can track some pretty incredible warps and keeps them inaudible.